Delegation of the European Union to Mozambique

Mozambique and the EU

12/05/2016 - 15:06
EU relations with Country

Cooperation between Mozambique and the European Union came into existence after Mozambique´s independence in 1975. The close relationship between the two parties encompasses partnerships at bilateral, regional and global level.

Relations between the European Union (EU) and Mozambique were guided by the Cotonou Agreement (2000 - 2020), which covered political, trade, economic and cooperation relations. The new EU-ACP Agreement (post-Cotonou) will enter into force in 2021. Besides the EU Delegation, 11 EU Member States are represented in Mozambique, namely Austria, Belgium, Finland, France, Germany, Ireland, Italy, Netherlands, Portugal, Spain, and Sweden. The EU and the Member States coordinate cooperation actions in Mozambique following a “Team Europe” approach.

    Elections and political situation

Mozambique has been an example of reconstruction since the 1992 Rome Peace Agreement ending a 16-year civil war. The country´s first democratic elections were held in 1994 and the sixth elections were held in October 2019, to which the EU deployed an independent Election Observation Mission (EU EOM). Longlasting peace and stability is one of the central goals in Mozambique and the EU has been supporting dialogue for peace, which resulted in the signing of the Definite Peace Agreement in August 2019.

    Strengthening democracy

The EU has observed all elections in the country since 1994. As for the country´s 6th elections held in 2019, the EU is closely monitoring the follow up of the recommendations and supports the government to address their implementation.

    Regular Political Dialogue

The EU holds regular meetings and consultations with the government to discuss issues concerning the political, social and economic situation in the EU, in Mozambique, and areas of common interest. The last political dialogue meeting was held in November 2020. Besides the main political dialogue, the EU holds regular policy dialogue with the authorities, political parties represented in Parliament, and with civil society.

    Peace and Security

The EU has been a strong supporter of Mozambique´s  peace process. From July to December 2016, the EU mediated talks and played an important role in the truce of 27 December 2016 between the Govrnment and Renamo. A definite peace agreement was signed in August 2019. On the occasion, the EU hannounced €60 million to support the consolidation of the peace process of which €25 million were already mobilized in 2019 for:

  • support to local economic development and governance in conflict-affected areas;
  • decentralisation;
  • reconciliation; and
  • Disarmament, Demobilisation and Reintegration (DDR process) of former combatants.

    Economic situation

Mozambique has a very young and rural-based population. Since the end of the 16-year long war that ended in 1992, the country has had a high economic growth rate linked to economic reform and the revival of the agriculture, transportation, and tourism sectors. Mozambique is highly exposed to climate hazards and needs to adapt to climate change. Going forward, the country’s development is expected to improve thanks to the country’s important reserves of coal and natural gas provided that current localized security and stability challenges are overcome.

The EU remains a partner to Mozambique in addressess economic challenges and ensuring actions on priority areas such as trade facilitation, green transition, digital transformation, sustainable growth and jobs, which are also high priorities of the EU Strategy for Africa.

   Trade

The EU has been since early 2000 promoting a new type of regional, multilateral trade arrangement, known as Economic Partnership Agreements (EPAs), aiming to reduce poverty, diversify economies and create employment through enhanced intra-regional integration and a carefully managed opening towards the world economy.

The EU and the Southern Africa Development Community (SADC) have signed an EPA, which Mozambique ratified and has been implementing since February 2018. Under this framework, the EU provides trade advantages to Mozambique under the EPA and grants tariff-free, quota-free access for all its goods, except arms and ammunition.

Supporting information: DG Trade/Statistics and Trade Helpdesk

About the EPA:

EU´s National indicative Programme for Mozambique (2014 - 2020) had two main focal sectors, namely, Good Governance & Development and Rural Development. Projects under these sectors are still under implementation.

 Projects under the Good Governance and Development focal sector aim to secure overall support to national public policy and priorities, with emphasis on strengthening government systems, accountability and macroeconomic management as well as promoting an enabling environment for sound political and economic governance.

The Rural Development focal sector has two approaches: (i) supporting inclusive growth and (ii) poverty reduction in rural areas. EU interventions help to improve food security and nutrition, through increased production, access to food and to markets and, also, support enhanced rural competitiveness by fostering the conditions for micro, small and medium-sized enterprises to thrive. To achieve those goals, the EU has adopted an integrated approach to rural development, named PROMOVE, to be implemented particularly in Zambezia and Nampula. The programme has six components: Transport, Energy, Agribiz, Nutrition, Biodiversity and Trade.

 PROMOVE Transport - € 124 Million

PROMOVE Transport focuseson the rehabilitation of rural roads in the provinces of Zambezia and Nampula. The programme has a strategic regional relevance (integration with Malawi and Zambia) and contributes to sustainable and inclusive economic growth through job creation and poverty reduction. Improvements to road conditions in the project areas enhanced the viability of local transport services with lower costs, and created a chain of other benefits related to agricultural inputs, greater rural competitiveness, and higher income generation for families. The example of such benefits is the EU-funded Milange – Mocuba 190km road, which last 110 km were inaugurated in 2019.

 PROMOVE Energy - € 94 Million

PROMOVE Energy is a key component that specifically focus on rural energy services access. Mozambique's current energy access rate is amongst the lowest in the region, with 26% rate connection to the grid while the National Electrification Strategy aims to connect at least 50% of the population to the grid by 2030. This action is also a contribution towards the 2030 Agenda goal of securing universal access to affordable energy services by the populations and private sector operators across the country.

PROMOVE Agribiz - € 68 Million

Improving rural competitiveness in Nampula and Zambezia provinces

In Mozambique, subsistence agriculture often barely meets household food needs. Smallholder production is largely not competitive commercially and emerging farmers face multiple difficulties to operate. Given that agriculture in Nampula and Zambezia is characterized by small-scale farming, the focus of this project is on three areas:

(i) Increasing sustainable agriculture to enhance food and nutrition security, improve competitiveness of agricultural production and resilience to shocks.

(ii) Developing rural markets and value chain competitiveness with the aim of fostering economic diversification.

(iii) Community development for resilience.

PROMOVE Nutrition - € 30 Million

Underway since 2017, the 5-year PROMOVE Nutrition programme is a partnership with UNICEF, the National Health Institute and the SUN-Civil Society Network to address the high levels of stunting in Mozambique. Chronic malnutrition is at critical levels and stunting remains a key public health concern, primarily affecting infants, young children and women of reproductive age. PROMOVE Nutrition is addressing the above, at the same time strengthening local capacity in nutrition-related planing and policy implementation.

        PROMOVE Biodiversity - € 13 Million

This component aims to protect the biodiversity and contribute to improving the livelihoods of rural communities through sustainable management of natural resources. The program will cover the areas known as Ilhas Primeiras e Segundas and adjacent coastal zones, the Gilé National Reserve and the Mabu Inselberg in the provinces of Nampula and Zambezia. These areas have been selected for they have been under pressure from local communities' action. 

        PROMOVE Trade - € 12 million

This is the only PROMOVE component with a national focus - it supports the implementation of trade facilitation measures and the improvement to the business environment by strengtghening government's reforms capacity within the framework of the World Trade Organization and Economic Partnership Agreement between the EU and SADC.

EU and PALOP-TL Cooperation

The group PALOP-TL is formed by five Portuguese speaking African countries (PALOP), namely Angola, Cape Verde, Guinea-Bissau, Mozambique and São Tomé and Príncipe, and also by Timor-Leste,  which became the 6th member in 2007, thus PALOP - TL. EU cooperation with PALOP - TL promotes a "Governance Initiative" with focus on reinforcing democratic, social and economic governance. Two important areas covering the cultural and creative industries and economic governance, particularly on improving public financial management in the PALOP TL, have benefitted from a €26M fund agreed in March 2019 between the EU and PALOP-TL

    Civil Society Dialogue

An empowered civil society is a crucial component of any democratic system and the participation of civil society organizations in policy processes is key to ensuring inclusive and effective policies. Regular dialogue occurrs in different formats in view to integrating civil society voice in EU programming.

EU action aims at improving CSOs’ and public institutions’ dialogue, reinforcing their role in promoting checks and balances and an enabling environment for participation at local level. Activities are grouped under three priorities:

  • Supporting the application of the national legal provisions and reinforcement of space for dialogue with citizens representation;
  • Reinforcing informal mechanisms for continued investment in civil society’s work at local level;
  • Building capacity of CSOs and promoting new opportunities for development.

One important instrument under implementation is the Non-State Actors Support Programme (PAANE), which supports non-state actors to have a voice in the policy, advocacy and monitoring processes and implementing projects.

    Human Rights

The situation in Mozambique in terms of human rights and democracy remains challenging, with an overall deterioration of political and civil rights. The insurgency in the Cabo Delgado province has resulted in constant reports of severe violations of human rights are constant, including illegal detentions of journalists and human rights defenders. The EU continues to focus on key areas such as the consolidation of peace and democracy, the rule of law and good governance, with a special emphasis on the fight against corruption and promotion of fundamental rights and freedoms. You can read the latest EU Annual Report on Human Rights And Democracy in the World (2020).

The EU has also been working on gender related discrimination and violence. The Spotlight Initiative, the new global initiative between the European Union and the United Nations, launched in 2017, focuses on eliminating all forms of violence against women and girls so no one is left behind. Backed by an initial financial envelope from the EU of EUR 500 million, the partnership looks to ensure that all women and girls can live a life free of violence. EUR 40 million of this amount were dedicated to Mozambique and the programme is implemented in the provinces of Gaza, Manica and Nampula. Learn more about the Spotlight Initiative.

Cooperation is a fundamental pillar of EU-Mozambique relations. Aligned with Mozambique´s national priorities, EU cooperation focuses on three areas:

  • Democracy and the rule of law: to promote the deepening of a gender-sensitive democratic system, transparency, accountability, and the rule of law to strengthen the Mozambican State in its core functions of protecting human rights, guaranteeing peace and security, promoting an inclusive political system, and providing basic services.
  • Sustainable and inclusive economic development: to support Mozambique’s efforts to stabilise its economy, create jobs, foster rural competitiveness, and better engage the private sector, while ensuring inclusiveness and environmental preservation.
  • Investment: to encourage investment relations between Mozambique and Europe, by identifying opportunities and engaging in economic diplomacy.

Humanitarian Aid

The EU and its Member States are at the forefront of the response to major crises around the world. EU humanitarian aid is chanelled through its Directorate-General for European Civil Protection and Humanitarian Aid Operations (ECHO), which assists the victims of conflicts or natural and man-made disasters.

Mozambique faces multiple shocks, frequent natural hazards such as floods, cyclones and droughts, and the current impact of COVID-19. The armed conflict in Cabo Delgado escalated in 2020, with a significant increase in the number and scope of attacks of armed groups and the subsequent humanitarian impact. Extreme weather events occur regularly, with their frequency and intensity increasing because of climate change. The country is yet to recover from the cyclones Idai and Kenneth, which occurred in 2019. Emergency response has been coordinated also with the EU Member States in Mozambique. Find more info on ECHO here.

Support to post-cyclone reconstruction

 

As part of the wider post-cyclone reconstruction in Mozambique, the EU has pledged EUR 200 million, announced at the International Donors Conference in Beira, in June 2019.  100 million of that amount were a concessional loan by the Europan Investment Bank.

The world is facing the COVID-19 pandemic. No one is safe until we are all safe. A global response through partnerships is what will lead all of us to combatting the disease. The European Union and its Member States, acting together as ‘Team Europe’, have from the beginning taken measures and decisive action to address the impact of COVID-19, which demanded adapting our priorities and programmes with partner countries to address the crisis.

As such, actions globally are centred at stopping the spread of COVID-19 and helping countries to strengthen their healthcare, water and sanitation systems; supporting the development of a fast and equitable access to safe, quality, effective and affordable tests, treatments and vaccines against coronavirus.

Team Europe has mobilized a package of more than EUR 40 billion to support three main priorities:

  • Emergency response to the immediate health crisis
  • Strengthen health, water and sanitation systems
  • Address socioeconomic consequences of the pandemic.

Team Europe Package is a coherent financial package for each partner country that needs support.

Access to Vaccines

The efforts to guarantee equitable access to safe and effective COVID-19 vaccines started early on, with Team Europe’s commitment to support to the most promising manufacturers in both vaccine development and build-up of manufacturing capacity to speed up the process. The financial support to the COVAX Facility, a global initiative bringing together governments and manufacturers to ensure COVID-19 vaccines reach those most in need was crucial. Team Europe are the main funding partners to COVAX and contributions so far have reached a global of 2.2 billion Euro.

Mozambique

The EU and the Member States have mobilized nearly 170 million in direct assistance against Covid-19 and has pledged this year an additional of 60 million for Covid response in Mozambique. Most of these funds have been allocated to frontline ministries in COVID response in the country, covering the sectors of education, health, and social protection, in an effort to better respond to the pandemic and its social impacts.

Regarding the access to vaccines through the EU-supported COVAX Initiative, ongoing financial and technical efforts are to ensure that no one is left behind from accessing a safe and secure vaccine. As part of those efforts Mozambique will receive over 2 million doses of the vaccine, the first batch of 384 000 doses were delivered in March.

Africa

Africa is a priority for the EU, which is proposing to re-allocate, accelerate and prioritise existing programmes to respond to the needs in the continent, in partnbership with international organisations such as the WHO and other UN agencies. Support will focus on strengthening preparedness and response capacities of countries with the weakest healthcare systems. The EU is also funding research, which is helping to detect and prevent the transmission of the coronavirus in Africa.

Editorial Sections: