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“China will be the main economic player”

On October 9, Mozambicans will decide the future of their country in the presidential elections. That future, according to experts, will continue to be more tied to China than to Portuguese-speaking countries. “All together, with Portugal and Brazil at the top of the investments, they don’t even reach half of China’s investment,” says Anacleto Simões, professor of economics at the University of Maputo.

Gonçalo Francisco

Daniel Chapo (Frelimo), Venâncio Mondlane (independent supported by PODEMOS), Lutero Simango (MDM), and Ossufo Momade (Renamo) are the candidates running for office, and regardless of who wins, they will face a debt of 2.45 billion euros owed to China, Mozambique’s main financial partner.

China has been increasing its economic influence in Mozambique, with a total of $8.5 billion in direct investment, compared to $546 million, for instance, about eight years ago. There is debt, for sure, but the future continues to point east.

“Whoever wins, the main partner will still be China; first, because there’s a large debt to pay, and then because there’s money to continue investing in Mozambique. Since 2016, there has been a global strategic partnership between the two countries, and for nearly twenty years, bilateral trade has increased year by year. In 2022, the increase was exponential, around 15%, with almost five billion dollars,” said Anacleto Simões, professor of economics at the University of Maputo.

China mainly imports primary agricultural and mining products, such as wood, iron ore, and its concentrates, at prices that no one else seems capable of matching. “These are values that others don’t pay, they are many millions. And there are also many [Chinese] companies established here, over 100, employing almost 20,000 workers. Who else does that?” he noted, before talking about the Portuguese-speaking countries.

“All together, with Portugal and Brazil at the top of the investments, they don’t even reach half of China’s investment. If companies from Portugal or Brazil invest in one or two or three businesses, Chinese companies, for example, cover industries like fishing, oil, textiles, hospitality, tourism, construction, transportation, energy, real estate, and more. It’s many millions, a lot of millions. I repeat, whoever wins, the main economic player will be China, no one doubts that. And it will be a very important player in the country’s future. Nyusi is leaving and has already communicated this,” said the professor, highlighting the business prospects China envisions in Mozambique.

“They want to work on natural resource exploration and also on gas,” he said, noting that China’s strategy in Mozambique also involves expanding businesses and “finding the easiest and cheapest way to reach major markets in Europe and North Africa.”

Main Chinese Projects

The most iconic Chinese project in Mozambique in recent years is the bridge between Maputo and Catembe, which was built by China Road & Bridge Corporation (CRBC) and financed with $725 million from the Chinese government.

China also financed more than 70 public projects, including the construction of airports in Maputo and Xai-Xai, the Agricultural Technology Center in Boane, the National Stadium in Zimpeto, agro-processing factories in Tete, and the energy transmission line between Zambezia and Nampula.

Recently, the Mozambique-China Cultural Center was inaugurated on the campus of Eduardo Mondlane University in Maputo, considered one of the largest and most modern cultural and artistic venues in Africa, equipped with international-standard facilities and technology.

No Polls

There are no polls to indicate who might be leading the presidential race, but in Maputo, at least, some candidates stand out, notably Daniel Chapo, Frelimo’s candidate, the same party as Nyusi.

A week before Mozambique’s general elections, Maputo is covered in the red of the Mozambique Liberation Front (Frelimo, the ruling party), and its presidential candidate, Daniel Chapo, while the propaganda of the other parties is almost non-existent.

In a survey conducted by Lusa on the streets of the capital, the colors of the electoral campaign for the only party that has governed Mozambique since independence in 1975 dominate the streets and avenues. From the simplest posters to banners, flags, and large screens highlighting Daniel Chapo, chosen by Frelimo to try to succeed Filipe Nyusi’s 10 years of governance, the ‘drum and maize’ party completely dominates the electoral campaign scene.

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Generalist media, focusing on the relationship between Portuguese-speaking countries and China.

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