Real Estate Investor Magazine Mozambique Real Estate Investor Magazine Mozambique 2014 | Page 7

MARKET OVERVIEW

By Bryan Wester

T

he country of Mozambique
has been an attractive topic of
conversation for many foreign
investors looking to diversify
and become part of Africa’s
rapidly increasing economic growth.
Mozambique, specifically, has seen giant
leaps in economic growth over the past five
years; owing to the recent discoveries of large
coal and natural gas fields in the northern
regions of the country. This was not always
the case and Mozambique has had a troubled
past, ranging from a battle for independence
from Portugal to a civil war between the two
opposition parties, Frilimo and Renamo.
Only recently in September of 2014,
did the two opposition parties cease their
guerrilla-like tactics and warfare on each
other; in order to promote economic growth
to enhance the activity and appeal for
increased foreign investment.
Mozambique is seen as one of the fastestgrowing economies within the African
continent. Despite this it is, however, being
ranked globally as one of the most difficult
countries to do business with. According to
the World Bank Group, it is ranked 141 out
of 187 countries. This low ranking is mainly
due to the many, and often unnecessary,
legalities involved in registration for new
companies, operating procedures and real
estate licences, combined with high levels of
corruption.
However, Mozambique seems to be
moving forward. It has opened its borders
to foreign investment and undergone radical
reforms by government, in order to fully
enhance the country’s potential through its
natural resources.

Mozambique
One of the fastest-growing
countries in Africa…
www.reimag.co.mz

Many infrastructure projects are now well
under-way such as:
• The EN 1 highways connecting the
Komaatipoort Border of RSA to Maputo;
• The ring- road circulation around the
capital of Maputo to ease congestion;
• The Maputo-Catembe Bridge project;
• The deep sea water port in Nacala in
Northern Mozambique;
• The rapid construction of new high-rise
buildings and office blocks in Maputo;
• Combined with an increase in
construction activity in the northern
regions of Nacala, Pemba and Palma.
Mozambique Real Estate Investor 5