Mozambique invites international mining interest

Mozambique, a costal neighbour of Zimbabwe, has invited foreign investors to explore the country’s mining and energy resources.

Energy minister, Salvador Nambuerete, is promoting the country’s mineral reserves, which include gold.

This week, around 100 multinational companies from Europe, the US, Africa and Asia have been attending a conference focused on the development of the country’s natural resources.

Currently, mining only contributes around 5% of Mozambique’s gross domestic product, but this is expected to increase to 15% over the next five years.

Legal and regulatory frameworks are being remodelled to attract investors: in 2002, around 300 mining licences were issued, with the figure increasing to 1,000 in 2007.

The government of Mozambique is also setting major objectives for its energy sector, which has the potential to increase production through hydropower as well as coal and gas deposits.

In the past, the country has been battered by civil wars that resulted in the deaths of up to a million of its people between 1977 and 1992, through conflict and famine.

In 1992 a political settlement formed the foundations for stability and rapid economic growth.