Portuguese Industrial Association sees bureaucracy as hindrance to investment in Mozambique

30 August 2006

Maputo, Mozambique, 30 Aug – The Portuguese Industrial Association (AIP) estimates that “hundreds” of small and medium-sized Portuguese companies operating in Mozambique continue to face “bureaucratic problems” in contracting foreign workers, particularly in obtaining residence visas for their managers.

Speaking Tuesday to Portuguese news agency Lusa in Maputo, the association’s vice-president, Jaime Lacerda said that “hundreds” of Portuguese companies have been impeded from recruiting staff from abroad for Mozambique, due to difficulties obtaining residence visas.

Lacerda, speaking on the sidelines of a seminar on Information Technology and Electronics, held as part of the Maputo International Fair (FACIM 2006), said it was necessary to “take another stand in relation to the problem, as it is good for Mozambique and its economy.”

Mozambique’s laws on contracting foreign workers are restrictive, and allows the contracting of foreigners only for positions which no Mozambican is able to fill.

This limitation has been criticized by investors, who want the rules to be relaxed, whilst Mozambican labor unions have defended the law as they fear that Mozzmbican workers could be sidelined.

Currently, the Mozambican government is looking into a project for the labor law which outlines, amongst other clauses, more openness to contracting foreigners. (macauhub)