outhern African countries alienate foreign donors due to poor governance and failing to meet their conditions, Mozambique - a country ravaged by war for over fifteen years – is dancing to a different tune and is the darling of the international donor community in the region.
Mozambique’s good governance and transparency is attracting both foreign investments and donor aid. Donors have dispatched millions of dollars in development aid to finance the country’s legal reforms and reconstruction following devastation by war and natural calamities like floods.
Institutionalized corruption, poor-governance, power-clinging leaders, and gross human rights violations are some of the reasons alienating several southern African countries from donors. Many southern Africa leaders are busy manipulating their countries’ constitutions to extend their rule, but Joaquim Chissano, who has ruled Mozambique since 1986, and was re-elected in 1999, is an exception.
When he announced publicly that he would not seek a third presidential term when his second term elapses in 2004, many were surprised. He has consequently won the admiration of the western nations. Frelimo—the ruling party—has since declared Armando Guebuza, it’s parliamentary group leader and former interior minister, the party’s candidate in the 2004 elections.
On the economic front, western creditors, courtesy of the government’s favorable image in the eyes of the IMF and World Bank, have written off most of the country’s foreign debt. They laud its commitment to good governance and fiscal discipline.
“It is in the government’s best interest to nurture the privileged relationship it has with the bi-lateral donors. Chissano’s decision not to seek re-election is a pointer that the country is serious about good governance. Donors will undoubtedly view this in favorable light”, observed Joao Porto, a South Africa –based political analyst. Good capital inflow - Mozambique’s good governance and transparency is attracting both foreign investments and donor aid. Donors have dispatched millions of dollars in development aid to finance the country’s legal reforms and reconstruction following devastation by war and natural calamities like floods.
In April 2002, the US government granted Mozambique US$30 million to combat malaria and HIV/Aids. Belgium gave another health package of US$6.7 million. According to World Bank reports, donors have pledged an additional US$700 million in development assistance to Mozambique. Though still ranked as one of the poorest countries, funds earmarked for Mozambique are easily controlled transparently. Corruption is not institutionalized as is the case in most of its neighbors.
In December 2001 Mozambique achieved an annual economic growth of 15 percent against an average of 3.2 percent for South Africa and Botswana, both economically superior to Mozambique. Impressive growth rate - In 2002, the country was projected to attain a growth rate of 10 percent and is currently attracting foreign direct investments from Australia, Europe and Asia in a region that is being shunned by investors and experiencing mass company closures.
Despite this economic growth, poverty levels are still high. It is estimated that 11.3 million people live in poverty, which the government intends to halve by 2010. The current inflow of foreign capital, and the expanding agricultural sector, could contribute to the success of this goal. Due to Mozambique’s impressive record of good governance, and the desire by the country’s leadership not to cling to power, African political leaders, especially from the SADC region countries, are yet to follow its path and admit that the alternation of power could well be the catalyst of taping aid from the rich western countries.
(From New People Feature Service)