Africa-Press – Mozambique. The Mozambican Government plans to regularise debts of 1.5 billion meticais (€20.2 million) owed to Small and Medium-sized Enterprises (SMEs) and will exempt from penalties those unable to pay contributions due to the post-electoral demonstrations.
In the Economic Recovery and Growth Plan (PRECE), approved by the Government and recently made available by the Ministry of Finance, there is a section on the “payment of the State’s debt to suppliers”.
“It is estimated that a payment of 1.5 billion meticais will be made to SMEs supplying goods and services to the State,” reads the PRECE document, consulted this Monday by Lusa.
The Minister of Finance, Carla Loveira, acknowledged on 29 October in Maputo the “difficulties associated with the State’s debts to suppliers of goods and services”, but assured that the Government “remains committed to the gradual, responsible and transparent settlement of these obligations, guaranteeing predictability and confidence in relations with the private sector”.
Minister Loveira also called for the definition of a “strategy for the payment of debt to suppliers, the strengthening of budgetary control mechanisms, account reconciliation, scheduling and prioritisation of payments”.
“To exempt all companies that, as a result of the demonstrations, were unable to meet certain social security obligations from penalties” is another measure included in PRECE.
The document acknowledges that “despite the legal obligation to submit deducted contributions to the Social Security System, taxpayers and self-employed workers are not always able to meet their obligations”, mainly due to “the economic and financial difficulties that in recent years have affected the country’s entire productive sector, arising from the internal and international economic situation, throwing thousands of workers into unemployment”.
“And consequently, without the necessary social protection,” it notes.
The Government aims to mobilise US$2.75 billion (€2.368 billion) in the short and medium term to stimulate the economy, particularly in response to the effects of climate change and political instability, according to PRECE.
The plan sets the objective of “improving the competitiveness of national airports and logistics corridors”, in order to “ensure an increase in the flow of people and volume of goods destined for or transiting through Mozambique”, thereby strengthening the sector’s contribution to the economy.
“Procedures aimed at improving efficiency at the main border posts will be simplified. In this regard, the concept of Special Economic Zones (SEZs) and Industrial Free Zones will be reformulated, with their establishment to be integrated with the development corridors.”
In logistics, PRECE sets the goal of “implementing maritime cabotage as a policy to encourage coastal navigation, with the aim of relieving pressure on roads and reducing logistical costs”.
“The creation of multimodal logistics zones in strategically located areas to facilitate the efficient flow of goods and optimise the movement of cargo, connecting different modes under a single operator or system. In this respect, the Government will identify at least three zones,” it states.
It also intends to “stimulate local production of goods purchased on a large scale by the State” for the “industrialisation of the country”.
“This shift from a State procurement paradigm focused on large, long-term transactions aims to promote the country’s industrialisation, which will result in more quality national jobs,” the document states, noting that all “food products consumed by the State, particularly by the Defence and Security Forces, hospitals and boarding centres, will be announced, with an obligation introduced for these to be of local origin.”
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