Mozambique: GDP expected to grow between 6.5 and 7 percent

3 February 2009

Davos, Switzerland, 3 Feb – Mozambique is expected to see economic growth of between 6.5 and 7 percent this year, the country’s Prime Minister Luisa Diogo said on the sidelines of the World Economic Forum, held in Davos, Switzerland.

Agriculture will be one of the strong points of the Mozambican economy, as it accounts for 26 percent of the country’s gross domestic product (GDP), with the Prime Minister projecting 15 percent growth for the sector.

Despite being one of the poorest countries in Africa, Mozambique is also one of the economies that have seen greatest rates of growth in the continent, with rates of between 8 and 10 percent.

However, last year floods and high inflation in food prices and fuel contributed to an economic slowdown.

The current estimate for Mozambican GDP growth in 2008 stands at 6.5 percent, although Diogo said that she hoped to see an upward review, to 6.8 percent, when definitive figures were published later this month. (macauhub)