134. Regarding the recommendation of the APR Panel on the need to make more effective
economic and industrial strategies in order to direct its focus, the country has implemented
important measures with some visibility on the ground.
135. Excluding major projects, there is a growing trend of increasing investment in key areas for
employment generation and those that represent a significant part of social welfare. In this
context, in 2011, investment promotion has led to the following sectoral distribution: Agriculture
and Agro-Industry (27.60%), Construction (21.04%) and Transport and Communications
(18.06%), the rest was distributed among other sectors. As for employment, the service sector
made up 23.83%, Agriculture and Agro-industry 22.28% and construction 19.46%.
136. The GdM (2007 - 2011) show a progressive increase in business licensing, having, for
example, incorporated 4,977 new companies into the areas of industry, trade, tourism,
agriculture, livestock, transport and communications and construction, in 2011 alone.
137. The GdM (2011) also states that the number of companies using a uniform concept of
Corporate Social Responsibility has increased. The same document states that the number of
vocational training centres, responsible for training labour with the skills needed by labour
market, have increased.
138. The Minister Counsellor of the Embassy of Brazil, quoted by the report on the Regional
Conference on Management of Public Resources and Foreign Aid (GMD, 2011), states that
South-South technical cooperation has been intensified, particularly with Brazil, which is
relevant for the absorption of knowledge and appropriate technology. The Ministry of Foreign
Affairs and Cooperation also underlines the growing importance of triangular cooperation,
examples being the "Platform - Project for Support to Agricultural Innovation in Mozambique”,
project “ProSavana" – Project for the improvement of research capacities and technology
transfer for the Nacala Agricultural Development Corridor, and "ProAlimentos" – Technical
support programme to nutrition and food programmes in the country.
139. A system of skills certification in Agriculture, Industrial Maintenance, Hospitality and Tourism
Administration and Management was also introduced.
140. However, extractive industry has dominated industrial growth in the country; from 2010 to
2011, this component grew 15.6%, against a moderate average growth rates in the food and
drinks industry and basic metallurgy sectors of 3,1% in 2011. Although the extractive industry
is receiving the bulk of investments, this can still not be said to be the driving force of the
economy, given that it has weak linkages with the other sectors of the economy, and generates
few jobs, not forgetting the still weak contribution to State finances, while recognizing that
substantial gains will become more visible in the long term. And as previously mentioned, rapid
growth of investment flows to the sector also challenge national capacity of macroeconomic
management, particularly monetary and exchange rate management.
141. APRM progress report also found that the business environment for Small and Medium scale
Enterprises (SMEs) is still constrained, and the root causes, already recognized by the Ministry
of Industry and Trade’s (2007) Development Strategy for SMEs, are the excessive regulatory
barriers, the high cost of financing and limited financial resources, poor labour skills, weak
55