Mozambique: Burocracy continues to hinder business in the country

29 November 2007

Maputo, Mozambique, 29 Nov – Burocracy continues to hinder the business climate in Mozambique and a minimum of 10 documents are needed to exports goods, the chairman of the Confederation of Economic Associations (CTA), Salimo Abdula said Wednesday in Maputo.

Abdula pointed to burocracy as one of the main obstacles to corporate activities in Mozambique, whilst speaking at the 10th Private Sector Conference.

the chairman of the CTA compared the cost of doing business in Mozambique and in South Africa, concluding that in South Africa it was cheaper.

“Exporting via the port of Durban (South Africa) costs US$1,085, whilst exporting via the port of Maputo costs US$1,115,” Abdula noted.

High interest rates and a lack of financing also make opportunities to do business in Mozambique less attractive than in other southern African countries, Abdula added.

According to the chairman of the CTA, Mozambican business owners will not be prepared to compete with their counterparts in the region when the protocol to liberalize trade in Southern Africa comes into effect in 2008.

The alleged lack of dialogue between the private sector and some government departments blocks the search for solutions for a better business climate in Mozambique, Abdula concluded. (macauhub)