{"id":58251,"date":"2024-03-30T22:27:34","date_gmt":"2024-03-30T22:27:34","guid":{"rendered":"https:\/\/www.africa-press.net\/mozambique\/all-news\/there-is-a-clear-correlation-between-mozambiques-high-debt-levels-and-growth-of-violent-extremism"},"modified":"2024-03-30T22:34:59","modified_gmt":"2024-03-30T22:34:59","slug":"there-is-a-clear-correlation-between-mozambiques-high-debt-levels-and-growth-of-violent-extremism","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/mozambique\/all-news\/there-is-a-clear-correlation-between-mozambiques-high-debt-levels-and-growth-of-violent-extremism","title":{"rendered":"\u201cThere is a clear correlation between Mozambique\u2019s high debt levels and growth of violent extremism\u201d"},"content":{"rendered":"

Africa-Press – Mozambique. <\/strong><\/span>Researcher Isel Ras, from South African Institute for Security Studies (ISS Africa), believes that Mozambique\u2019s debt crisis, discovered in 2016, helped trigger violence in Cabo Delgado in recent years.<\/p>\n

\u201cThere is a clear correlation between Mozambique\u2019s high debt levels and the growth of violent extremists\u201d Ras writes in an academic article<\/b> on the link between debt and terrorism in African countries, using the country as an example.<\/p>\n

In the article, which Lusa had access to today, Isel Ras states that \u201cresearch reveals that following the hidden debt scandal, there was a significant decrease in government healthcare expenditure\u201d adding that \u201cthis diminished resource allocation and limited access to necessities eroded citizens\u2019 trust in the state.\u201d<\/p>\n

The hidden debt scandal, as it became known, concerns loans taken out in 2014 by public companies without the knowledge of parliament, financial institutions and international donors, which ended up not being used for the purposes for which they were intended, namely the purchase of a fleet of speedboats to patrol the coast of Mozambique.<\/p>\n

The case plunged the country into a financial crisis. Donors cut funding, rating agencies placed the country in default and Mozambique\u2019s international reputation was seriously damaged.<\/p>\n

With trials in several jurisdictions still ongoing, the case is still unresolved, as investors and Mozambican authorities both say they were harmed and demand compensation.<\/p>\n

In the article, Isel Ras says that \u201d in sub-Saharan Africa, economic marginalisation, poverty and lack of access to essential services are significant drivers of violent extremism\u201d, like that plaguing the gas-rich Cabo Delgado province since the end of the last decade.<\/p>\n

\u201cAll of these [factors],\u201d she continued, \u201cworsened with Mozambique\u2019s debt scandal\u201d as \u201cinsurgents capitalise on such situations, exploiting grievances caused by state deficiencies\u201d. The analyst cites a 2019 study by the United Nations Development Program (UNDP) which \u201cestimates that between 2007 and 2016, the impact of terrorism on African countries\u2019 gross domestic product, loss of informal economic productivity, increased security expenses, and refugee\/displaced persons, cost over US$119 billion (almost \u20ac110 billion)\u201d, and that in the case of Mozambique, the Centre for Public Integrity \u201cputs the fiscal impact of Mozambique\u2019s conflict at US$1.69 billion (\u20ac1.5 billion euros) between 2018 and 2022\u201d<\/p>\n

The analyst highlights that \u201cpoor governance […] lies at the heart of both Mozambique\u2019s debt crisis and its insecurity\u201d, also warning that \u201d the government\u2019s commitment to accountability and transparency, and to tackling the drivers of violent extremism, remains lacking\u201d.<\/p>\n

Mozambique\u2019s public debt to GDP ratio rose from 64.3% in 2014 to 126.2% in 2016, with hidden loans taken into account, and then improved to around 90% at the end of last year, but still thus remaining one of the highest in Africa, which makes the cost of external loans more expensive and takes away essential budgetary space for manoeuvre to encourage economic development.<\/p>\n

Deaths caused by terrorist attacks in Cabo Delgado dropped to less than a hundred in 2023, after more than 250 victims per year between 2019 and 2022, according to Government figures.<\/p>\n

The conflict in the north of the country has already displaced more than one million people, according to the United Nations High Commissioner for Refugees (UNHCR), and cost more than 4,000 lives, according to the ACLED conflict registration project.<\/p>\n

For More News And Analysis About Mozambique<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – Mozambique. Researcher Isel Ras, from South African Institute for Security Studies (ISS Africa), believes that Mozambique\u2019s debt crisis, discovered in 2016, helped trigger violence in Cabo Delgado in recent years. \u201cThere is a clear correlation between Mozambique\u2019s high debt levels and the growth of violent extremists\u201d Ras writes in an academic article on […]<\/p>\n","protected":false},"author":84,"featured_media":58250,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,5],"tags":[233,281,283],"class_list":["post-58251","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-economy","tag-africa-press","tag-africa-press-mozambique","tag-mozambique"],"yoast_head":"\n\u201cThere is a clear correlation between Mozambique\u2019s high debt levels and growth of violent extremism\u201d - Mozambique<\/title>\n<meta name=\"description\" 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