USAID/Mozambique aims to increase private sector-led economic growth and access to quality social services, while conserving natural resources and promoting transparent and accountable government. To achieve these ambitious goals, and to support Mozambique’s journey to self-reliance, the Supporting the Policy Enabling Environment for Development (USAID SPEED) activity will focus on supporting policy reform and implementation, which will improve the country’s business enabling environment and will enhance the role of the private sector in agriculture, trade facilitation, health, energy, water and biodiversity and conservation. The activity will also support policy reform and implementation that strengthens economic governance and public financial management, and enhances the role of civil society, supporting Mozambique’s ability to plan, manage, and finance its own development as part of a long-term journey to self-reliance.
The specific outcomes of this multi-sector policy reform activity include contributing to:
❏ Broad-based economic growth with special reference to the agriculture sector;
❏ Increase in quality jobs for Mozambique’s large cohort of 18-35 year-olds;
❏ New opportunities for the country’s private sector in health service and energy provision; and
❏ A government sector that is viewed as a trusted, transparent, inclusive and supportive partner in the pursuit of a better future for the Mozambican population.
A country that is better prepared to manage extractive revenues transparently and effectively, in ways that improve social services and foster broad-based economic opportunities.
Mozambique is on the precipice of dramatic economic changes brought about by the anticipated massive revenues from natural gas reserves. The USAID SPEED activity will contribute to sound discourse regarding key economic policy and governance decisions that will set the trajectory for the country’s economic future as an exporter of natural resources. In addition, the activity will help Mozambique establish the laws and institutions required to avoid the negative consequences associated with the “resource curse,” to ensure that policy reforms in other key sectors of the economy are not ignored, and to offer a modern and innovative approach toward addressing the challenges associated with rapidly and inclusively growing an economy while maintaining a commitment to accountable and transparent governance.
The activity will build on previous policy reform efforts supported by USAID in coordination with other donor partners. However, this activity will shift from an emphasis on policy formulation to increased attention on policy implementation. This requires supporting government institutions, private sector associations and civil society in developing both the political will and the technical capacities to mutually reinforce each other through collaborative and innovative initiatives, while at the same time providing the necessary checks and balances to facilitate the evolution of a sound business enabling environment.