- © by: ADC/Stefan Pleger
Mozambique
Mozambique is cited as a showcase example for successful political and economic reform. At an average annual rate of some seven per cent, it is one of the fastest growing national economies in Southern Africa. In the UN Development Programme's (UNDP) Human Development Index for 2007, Mozambique rose to No. 168 from 170 among 177 states. Nevertheless, the country on the coast of the Indian Ocean numbers among the poorest in the world.
Poverty reduction through budget support
A prime target of the Mozambican government is therefore to reduce the ratio of the poor population from 54 per cent (2006) to 45 per cent in 2009. The specific steps for implementing this programme are set out in the National Action Plan for the Reduction of Absolute Poverty 2006-2009 (PARPA II). PARPA II receives international support from the growing group of donor countries providing funds in the form of general budget support. Austrian Development Cooperation (ADC) has been a member of this donor group since 2007 and makes a contribution to general budget support for Mozambique as of 2008. This ensures more effective and efficient use of ADC funds, as called for in the Paris Declaration.
ADC has applied the financing instrument of sector support in Mozambique since 2005. It promotes the budget of the Ministry of Agriculture aiming at sustainable, equitable growth in the agricultural sector while conserving natural resources. The Austrian funds are earmarked solely for Sofala Province, Austria's priority region in the country.
Decentralisation and rural development
ADC engagement in Mozambique concentrates on supporting the government's decentralisation efforts. Prime attention is paid to strengthening the state district and self-governing municipal authorities in Sofala Province in planning and participation procedures. Support is also given to advancing the political participation of poor sections of the population. Substantive themes are agriculture, rural water supply and sanitation as well as smaller local infrastructure measures.
Mozambique has been a priority country of Austrian Development Cooperation since 1993. Cooperation with Mozambique is organised via the coordination office in the capital Maputo.
