Vol. 2003 No. 1 (2003)
Investment Climate and FDI Attraction in Mozambique: A Survey Analysis
Abstract
Mozambique faces significant economic challenges, including low foreign direct investment (FDI) inflows and a need for improved investment climate. Understanding these dynamics is crucial for policymakers and investors aiming to attract FDI. A structured questionnaire was administered to a diverse sample of international businesses, with responses analysed using statistical software. The analysis reveals that perceived regulatory inefficiencies and corruption are key barriers to FDI in Mozambique, despite the government’s efforts to improve business environment indicators. While Mozambique has made progress in certain areas such as infrastructure development, significant improvements are needed in governance and legal frameworks to enhance investor confidence. Policymakers should prioritise reforms aimed at reducing corruption and improving public sector efficiency, alongside continued investment in critical infrastructure sectors.