South Africa doubled the amount of its foreign direct investment (FDI) into neighbouring Mozambique in 2005, retaining its position as the single largest foreign investor in the country, South African government news agency BuaNews reported on Thursday.
BuaNews cited Mozambique Investment Promotion Centre (CPI) director Mahomed Rafique, who said that South African FDI totalled $93,7-million in 2005 across
about 52 large infrastructure and construction projects, accounting for 58% of the total FDI into the country over the past twelve months.
Mozambique’s total foreign investment climbed to $164,5-million, a 34% rise versus 2004 figures. Smaller tourism and small business-related projects were not monitored and were therefore not included in the statistics.
Rafique said South Africa’s nearest competitor was the United Kingdom with 15 projects totaling $27,8-million, up from just $13,1-million in 2004.
Zimbabwe rose from the seventh position in 2004 to become the third most important investor in its eastern neighbour last year with investments worth $9,1-million.
In fourth position was Mozambique’s former colonial master, Portugal, maintaining the same position it held in 2004, although its actual investments increased slightly from $5,6 million in 2004 to $7,3-million in 2005.
The biggest increase in FDI came from China, which jumped up the ranks from 25th position in 2004 to sixth place in 2005, BuaNews reported. Direct Chinese
investment in 2005 totaled $5,6-million against only $292 000 the previous
year.
Investment into Mozambique also came from countries such as Mauritius, Rwanda, Angola, Swaziland, Botswana, Brazil, US, Yugoslavia, Belgium, India, France, Uganda, Sweden, Spain, Switzerland, Pakistan, Germany and New Zealand.
The CPI also reported that 541 South Africans had successfully applied for permits to work in Mozambique in 2005.
Rafique noted that the National Institute of Labour and Professional Training (INEPF) authorised 4 051 foreigners to work in Mozambique during the
year.
“The ministry [of labour] says of the 4 051 foreigners who got work permits, 541 were South African and 440 Chinese, [while] others included Portuguese, Cuban and German nationals,” he said.
Mozambique has, in recent years, increasingly been seeking foreign technical and construction experts to service its growing numbers of large investment projects. – I-Net Bridge