WEEKLY MEDIA REVIEW: 3 JULY TO 10 JULY 2015

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Mozambican authorities incinerate more than two tons of ivory and rhino horns (see page 56 - 59 for more).

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OBJECTIVE KEY PERSONS Offering seamless solutions for asset protection Dr. Leonardo Simão - Executive Chairman in SADC political and security environment. Executive director of the Joaquim Chissano Foundation, Chairman of United Bank of Africa VISION and Member of the SADC Mediation Team for Providing a network of political and security risk Madagascar, Leonardo Simão served as Minister advisers with first-hand knowledge of of Health from 1988 to 1994 and Minister of Mozambique and each country in the SADC. Foreign Cooperation from 1994 to 2005. Graduated in Medicine, Specialist in Public SCOPE OF SERVICES Health, he is a founding member of the Medical Country Risk Management Association of Mozambique and member of the  Country Risk Assessment Mozambique Medical Council.

 Market Entry Nuno Tomas - Director  Due Diligence A career diplomat, Nuno Tomas is Senior  Research & Investigations Adviser to former President of Mozambique,  Cultural Nuances and Understanding Joaquim Chissano since 2005. He has been  Health, Safety & Environmental involved in special political missions across Management Africa focussed on Conflict Resolution,  Physical Site Assessment Sustainable Development, Accountability and Compliance Good Governance.  Sanctions (US, EU, UK, Asia)  Anti-Money Laundering (AML) Nigel Morgan - Director  Anti-Bribery / Corruption (FCPA, BBA, For more than two decades, Nigel Morgan has OECD) advised multinational companies, financial  Litigation Support institutions and private clients on political and  Know your Client / Source of Funds (KyC / security risk related to foreign direct investment SoF) in Africa. He served in the Irish Guards and at Specialised Security Services the Centre for Policy Studies in London during  Corporate Security Planning the premiership of Margaret Thatcher.  Crisis Management  Emergency Evacuation Joe van der Walt - Director  Executive Protection Former South African military officer, who has  Kidnap and Ransom specialised in private-sector security in Africa and the Middle East, with particular expertise in AREAS OF OPERATION the oil, gas and mining sectors and working SADC experience in Angola, DRC, Liberia, Zambia, Somalia, Iraq, to name a few.

TABLE OF CONTENTS

ECONOMY ...... 8 GRAPH 1: MOZAMBIQUE CURRENCY EVALUATION ...... 8 GDP grows 5.9% in first quarter ...... 9 Falling prices for third consecutive month ...... 9 IMF wants “stronger controls” over state companies ...... 10 CTA explores options to cushion the blow of strengthening dollar ...... 11 CPLP Business Confederation: Abdula calls for open borders among Portuguese speaking countries ...... 11 South Korea to transfer cutting-edge gas and energy technology to Mozambique .... 12 German aid for Mozambique...... 13 Brazilians seek opportunities in ...... 14 Confindustria Marche to engage in a business mission to Maputo in August ...... 14 Nyusi dines with major Portuguese investors ...... 14 Coal India to relinquish 75% area of Mozambique coal blocks ...... 15 Test results from Fair Bride ore underlines project’s credentials - Xtract ...... 16 Mustang Resources places a big bet ...... 17 Galp points to integrated development as the main challenge for Mozambique ...... 17 Approved mega-projects still not operational ...... 17 Kepco becomes first Korean electricity provider in Africa ...... 18 A million Mozambicans have access to energy ...... 18 Hidroeléctrica de Cahora Bassa invests US$10 million in various projects in ...... 19 Two former generals invest in the electricity business ...... 19 Huawei eyes Mozambique and Angola ...... 19 Vietnam develops seed rice for Mozambique ...... 20 Strategic ‘textile parks’ to streamline the cotton sector ...... 21 Number of cotton farmers decline in Sofala ...... 21

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Microbank promises financial inclusion project ...... 21 Groups from Dubai and Thailand invest in real estate in Mozambique ...... 22 Maputo fish market to open this month ...... 22 21 countries confirm participation at Mozambique trade fair ...... 22

POLITICS ...... 23 Labour minister pledges support for ex-miners association ...... 23 Cuamba residents ask Nyusi for improved transport ...... 24 Mozambicans do not need any more enemies – Nyusi ...... 25 Nyusi promises bridge over Lunho River ...... 26 New inspection vessel for Lake Niassa ...... 27 Nyusi visits Niassa’s AC-Matama Agro-Industrial Complex ...... 28 Dhlakama threatens to once again paralyse the EN1 highway ...... 29 “The solution is not to dismiss the governors” – Nyusi ...... 30 Public Works Ministry discusses resilience to floods ...... 30 Governor of Maputo calls for the payment of taxes ...... 31 Namaacha residents to gain better access to drinking water ...... 32 Minister Namashulua on official working visit to Matola ...... 32 Complete inventory of State owned property in Mozambique to be ready in six months ...... 33 Renamo deputy suggests HIV test before marriage ...... 33 Nyusi urges OMM to reach out to women with differing knowledge and opinions ...... 34 OMM not expected to change leaders until congress ...... 35 Gundiwa engages in working visit to Nampula...... 36 Renamo dissidents call for dismissal of provincial delegate ...... 36 Mozambique and the United Kingdom to strengthen partnership for prosperity...... 37 Chissano meets with Zambian President in Malawi ...... 38 “Ematum debt is sustainable” - Alberto Chipande ...... 38 The fishing deal gets fishier ...... 40

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SECURITY ...... 45 Security forces in Tete ...... 45 Vietnam and Mozambique deepen ties in security and finance ...... 46 PIC could be restructured ...... 47

CRIME ...... 48 MAP 1: KIDNAPPING INCIDENTS IN CENTRAL MAPUTO 2014 & 2015 ...... 48 GRAPH 2: REPORTED KIDNAPPINGS PER YEAR ...... 49 GRAPH 3: TIME OF KIDNAPPINGS 2014 & 2015 ...... 49 GRAPH 4: KIDNAPPINGS PER GENDER / AGE-GROUP 2014 & 2015 ...... 50 24 foreigners denied entry into Mozambique ...... 50 Malawian national arrested in Tete for murdering his wife ...... 50 Labour Inspectorate dismisses 77 illegal workers from STEVAL Mozambique ...... 51 Gunmen target BCI branch in Tete ...... 51 Woman murdered by her boyfriend in Chamanculo ...... 51 Members of the Báruè Community Police accused of beating a citizen to death ...... 52 Another albino teen disappears in Nampula ...... 52 Matola resident arrested for murdering his neighbour ...... 52 PRM recapture three prison escapees ...... 52 Three people lynched in Sofala ...... 52 AT seized 490 boxes of smuggled cigarettes in Manica ...... 53 Crime wave hits Chamanculo “D” in Maputo ...... 53 PRM arrest former soldier involved in armed robbery ...... 54 Local contractor attempts to bribe the Governor of Tete ...... 54

WILDLIFE PRESERVATION ...... 55 “We will not tolerate illegal logging in Mozambique” - Dhlakama ...... 55 Mozambique burns 2.6 tons of ivory and rhino horn ...... 56 WWF criticizes Mozambique for burning “vital evidence” ...... 57 Will the Maputo ivory burn make any difference? ...... 59 Lions benefit from elephant poaching in Mozambique park ...... 62

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Mozambican national sentenced to five years for intent to poach ...... 63 Civic organisations warn of risks to forest reserve in northern Mozambique ...... 63

OTHER ...... 64 Famine threatens thousands of families in Sofala ...... 64 Mozambique to block unregistered SIM cards and fine non-compliant mobile operators ...... 64 Guebuza’s mother dies at the age of 103 ...... 65

BUSINESS INDEX

Abu Dhabi Mar 44 Abu Dhabi Mar LLC 43 African Century 28 API Investimentos 19 Auroch Minerals 16 BCP 14 Caixa Geral de Depósitos 14 Coal India 15 Coal India Africana Ltd 15 Constructions mécaniques de Normandie 41 EdM 25 Ematum 10, 38, 39, 40, 41, 42, 43, 44, 45 Entreposto 14 Ernst & Young 39 Eskom 19 Gabriel Couto 24 Galp 14 Galp Energia 17 High Voltage Technology 19 Huawei 19

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Incomati Power System 19 JFS 15 Korea Electric Power Corporation 18 Letshego 21 mCel 65 Minor Hotel Group 22 Mofid 60 Mota Engil 14, 24 Movitel 65 Mozal 18 Mozvest Mining Limitada 17 Mustang Resources Ltd 17 New Bank 14 Portucel 14 Privinvest Shipbuilding SAL 44 Proindicus SA 44 Radisson Blu Hotels & Resorts group 22 Rani Investment 22 Save River Diamonds Pty Ltd 17 Soares da Costa 14 STEVAL Mozambique Lda 51 Syrah Resources 17 Teixeira Duarte 14 Triton Minerals Ltd 17 Vale 16 Viettel Group 46 Visabeira 14 Vodacom 65 Xtract Resources 16

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ECONOMY

Mozambique Exchange Rate and Fuel Prices: 9 July 2015

Mozambique Metical (MZN) Exchange Rate Mozambique Fuel Prices Currency Buy Sell Fuel Type Price Per Litre Euro (EUR) 42,20 42,42 Petrol 47,52MT U.S. Dollar (USD) 38,25 38,45 Diesel 36,81MT

S.A. Rand (ZAR) 3,05 3,07 Prices only valid for Maputo, Beira and Nacala

GRAPH 1: MOZAMBIQUE CURRENCY EVALUATION

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GDP grows 5.9% in first quarter Falling prices for third consecutive month In the first three months of this year (2015) the Gross Domestic Product Mozambique National Institute of (GDP) registered an increase of 5.9% Statistics (INE) data indicates that the compared to the same period in 2014. country experienced deflation in June, for the third consecutive month, to 1.36% According to the National Statistics year-on-year from 1.29% in May. Institute (INE), the increased economic performance in the first quarter is largely In a statement on Tuesday (7 July) the attributed to the secondary sector, which INE revealed that the consumer price grew 8.2%; with the electricity, gas and indices for the three main cities (Maputo, water sectors recording a growth range of Nampula and Beira) showed an overall 12.6%. decline in prices of 0.46%. This follows price falls of 1.05% in May and of 0.98% The primary sector ranks second with a in April. growth of 7.7%, predominantly attributed to the mining sector, with an increase of The statistics agency said that this trend 16.6%. differs from the first three months of the year when prices rose by 1.84% in The tertiary sector also registered a January, 1.56% in February, and 0.06% in positive growth of 4.9%, primarily due to March. the catering industry, with 9.1% growth. The result is that the accumulated inflation According to the INE, the other sectors for the first six months of the year is just that contributed significantly to the 0.93%. This compares with inflation of country’s GDP include: agriculture, 1.49% in the first six months of 2014, and livestock, hunting, forestry and fishing and of 2.26% in the same period of 2013. related activities, with a 22.7% contribution towards the GDP. This was Annual inflation from 1 July 2014 to 30 followed by transport, storage and June 2015 was 1.36%. This compares information and communication, with a with an annual inflation for the previous combined contribution of 13.7%. year of 2.75%, and for July 2012 to June 2013 of 4.86%. The third position is occupied by the trade and repair services sectors, with 10.4%; INE said that food prices are the the manufacturing sector, with a weight of determinant factor in the recent deflation. 9.3%; the rental of branch and business In June the price of tomatoes fell by 6.9%, services, 7.3%; and education, 6.6%. coconuts by 7.8%, cabbages by 5.5%, maize flour by 1.8%, and dried fish by The remaining areas of activity had a 1.5%. combined weight of 30.1%. There were slight increases recorded in Source: Folha de Maputo the price of clothing and footwear (0.03%) and furniture and decorative goods (0.01%).

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Price reductions were experienced in all A brief IMF press release cites the Deputy three cities in June, as prices declined by Managing Director and Acting Chair, Min 0.59% in Beira, 0.49% in Maputo, and Zhu, as praising Mozambique’s growth 0.4% in Nampula. and inflation record, while warning that low commodity prices increases the risk The trend is the same as in previous associated with the country’s coal and years in the recent past. natural gas projects for the immediate future. Prices typically increase in the first few months of the year, then drop in the He described Mozambique’s performance middle of the year, as the harvest comes under the PSI as “mixed”, claiming that: in, only to rise again at the end of the “While structural reforms have been year, immediately prior to the festive proceeding, there have been season. macroeconomic policy slippages and reserve losses in late 2014”. Source: APA/Star Africa/Agencia de Informacao de Moçambique Nonetheless the IMF is optimistic that “With strong fiscal adjustment envisaged IMF wants “stronger controls” over in the current budget, and a recent state companies tightening of liquidity conditions, the required steps to maintain The International Monetary Fund (IMF) macroeconomic stability are now in place. has called for “stronger controls” over The decline in international reserves has Mozambican state-owned companies, but largely been reversed, and greater continues to regard the countries high exchange-rate flexibility will help the growth rate and low inflation as economy to better respond to external “commendable”. shocks in the period ahead”. Last Thursday (2 July) the IMF Executive “The strong fiscal adjustment in the Board completed its fourth review of budget appropriately calls for revenue Mozambique’s economic performance, under the programme maintained by the mobilisation and expenditure restraint, Policy Support Instrument (PSI). while safeguarding social programmes”, the release adds. “Recent fiscal reforms The IMF describes PSI as an instrument have strengthened the policy framework, designed for countries that do not need but more needs to be done to improve balance of payments support. public financial management, including stronger controls over state-owned In other words, Mozambique is no longer enterprises and enhanced management asking for - or receiving - IMF loans. of fiscal risk”. Nonetheless, the IMF approval of Mozambique’s economic policies is still The IMF did not mention which state- regarded as useful, since it sends positive owned enterprises it has in mind, but it is signals to other donors and funding reasonable to assume that the agencies. Mozambican Tuna Company Empresa Moçambicana de Atum (Ematum) is among them, given that this year it must

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begin repaying the US$850 million loan it For Manuel, the government must obtained on the Eurobond market in 2013. prioritise basic goods as imports from other non-essential goods may be The press release concludes that: “On- delayed for some time. going progress on a broad range of structural reforms, including the passage Overall, Manuel recognises that the of the new mining and hydrocarbon current exchange rate can negatively legislation, is encouraging. Nonetheless, impact business and, consequently, the further measures are needed to make amount of revenue to be collected by the sure poverty alleviation is more State. responsive to growth, and to strengthen the business climate”. Source: Jornal Notícias

Source: Agencia de Informacao de CPLP Business Confederation: Abdula Moçambique calls for open borders among Portuguese speaking countries CTA explores options to cushion the blow of strengthening dollar The private sector and the member states of the Community of Portuguese The president of the Confederation of Speaking Countries (CPLP) stand only to Economic Associations of Mozambique gain from facilitating the freer movement (CTA), Rogério Manuel, says that the of labour, goods and capital within the government has proposed exploring and organisation. establishing various options, in a bid to lessen the impact of the strengthening US Moreover, according to Mozambican dollar, especially in respect of commodity Salimo Abdula, president of the Business prices. Confederation of the CPLP, this is the opinion expressed by economic operators Over the past few months, the US dollar in almost all countries that form part of the has appreciated from MT33 per dollar in organisation. January to MT40. The government is concerned that the unfavourable The CPLP’s Business Confederation, an exchange rates will hinder the importation organisation of member state of products essential to the country; e.g. businessmen, was created 11 years ago. wheat and rice. Until recently, its leadership coincided with the rotating presidency of the CPLP. According to Manuel, they are working However, from this year onwards, the with the Central Bank to see what can be confederation’s leadership will be decided done, however, at this point their options by elections. are limited. At a press conference in Maputo on According to Manuel the Bank of Monday (6 July), Abdula spoke of the Mozambique and the CTA are examining importance of opening up member the situation, and hopes that the countries to business as a way to develop government will be able to financially the CPLP market of more than 250 million contribute towards the import of basic people spread over four continents. goods.

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It is believed, for example, that within two benefits of greater openness between decades the CPLP could represent 25- member states. 27% of the world gas market. Currently it is worth 4% of the grouping’s GDP, a In 2013 it was Mozambique’s turn to lead figure that could double, or even triple, if the confederation for a term of two years, politicians were to seriously invest in their the first of which fell to the Industrial economies and increase communication Association of Mozambique (AIMO) and between states, according to Abdula. the second to the CTA. Much has been done to ensure greater visibility for the For Abdula, it makes no sense that organisation in the meantime. The first citizens of an organisation founded nearly four-year presidency under the new two decades ago should continue to face governance rules has (also) fallen to. such difficulties when trying to move from Mozambique, one country to another, whether for leisure or on business. Source: Notícias

Indeed, freedom of movement is among South Korea to transfer cutting-edge the topics covered in the first Business gas and energy technology to Confederation report, to be submitted to Mozambique the CPLP Council of Ministers meeting, being held on 24 July in Dili, East Timor. On Thursday (2 July) a Memorandum of Understanding (MoU) was signed “One of the main priorities that the private between Mozambique and South Korea sector has set is the free movement of with the aim of transferring advanced persons, goods and capital, in order to Korean technologies to the country. facilitate the socio-economic development of the CPLP member countries”, said Mozambique and South Korea are two Abdula. very different economies united in their desire to exploit the abundant resources He argues that it does not make sense they possess. Mozambique has natural that there are administrative barriers that resources, and South Korea has restrict freedom of movement to the technology. extent that in some countries, like Mozambique, citizens consider In terms of the MoU, signed with the themselves more integrated into regional Mozambican Energy Fund (FUNAE) in blocs like the Southern African Maputo, South Korea has agreed to Development Community (SADC) than transfer energy sector technologies to into the CPLP. Mozambique.

The opening of borders may encounter In addition, South Korea is to train resistance due to the fact that CPLP Mozambican staff within the energy countries are themselves members of sector, as well as rolling-out technologies regional organisations with specific that will ultimately provide electricity to a migration policies that do not allow states greater portion of the population in rural to act alone. However, Abdula and his areas, where the public distribution team promise to do everything in their network is inadequate. power to awaken politicians to the

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The deputy minister of industry and trade, component of the Greater Limpopo Omar Mitha, believes that it is time for the Transfrontier Park. country to capitalise on the vast Korean experience in the field of electronics, the After signing the agreements, Balói said automotive industry and other advanced that the German aid would assist, technologies. amongst other areas, in supporting Mozambican municipalities, promoting the “I think there is complementarity here. We financial sector, modernising the have other features that require cutting- electricity network and adaptation to edge technologies, such as gas, but we climate change. also have agricultural resources which, once developed, can supply the Asian “We believe that the agreement will have markets”, said Mitha. a great impact on implementing the strategic objectives of the government’s Source: O País Five-Year Programme for 2015-2019”, said Balói. “We are pleased at Germany’s German aid for Mozambique commitment to continue granting support to the economic and social development On Friday (3 July) the Mozambican and of Mozambique, which in turn contributes German governments signed three to the government’s efforts to reduce agreements in Maputo, under which poverty”. Germany will donate €128 million (approximately US$142 million) for For his part Schauer, announced that €30 various development projects. million forms part of Germany’s commitment to the Education Sector The agreements were signed by the Common Fund (FASE). Mozambican Minister of Foreign Affairs and Cooperation, Oldemiro Balói, and the There are also several new programmes German Ambassador, Philipp Schauer. of German support. In education, German The agreements cover a two-year period. aid will “expand the supply of technical and professional education through a According to a joint press statement, the partnership with some of our education grant will support “the three priority areas institutions”. In all, over a third of the aid when it comes to co-operation between (€50 million) will go to education, Mozambique and Germany, namely maintaining Germany’s position as one of education, decentralisation for rural the major donors in this area. development, and sustainable economic development”. Some of the money will be utilised to improve access to electricity, through In addition, some of the German funds modernising and expanding the electricity have been allocated to the newly grid, and to “promote good financial established Foundation for the governance at the level of decentralised Conservation of Biodiversity (BIOFUND), administration”. and for the Limpopo National Park. This is the largest conservation area in the south Schaier said that German co-operation of the country, and is the Mozambican would support the Mozambican government in achieving “the priorities set

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out in the Five-Year Programme: the identify and strengthen investment consolidation of good governance; opportunities in Mozambique in the oil and inclusive economic growth with the gas sector. The mission will also provide creation of more jobs; increased support to various other companies in competitiveness, productivity and respect of market access. improvement in household incomes”. Source: Confindustria Marche Source: Agencia de Informacao de Moçambique Nyusi dines with major Portuguese investors Brazilians seek opportunities in Maputo On Thursday (9 July) 12 of the largest Portuguese investors in the country A Brazilian business mission is scheduled (representing a combined total investment to travel to Maputo later this month (30 of €907 million over the past five years) July) to seek investment opportunities. dined with President Filipe Nyusi, one week before he is scheduled to depart on 30 business representatives will take part a working visit to Portugal (15 to 18 July). in the mission, organised by the Brazilian Agency for Export and Investment During Nyusi’s opening speech, he stated Promotion (Apex-Brazil). that his guests are “champions in promoting investment in Mozambique”, In 2014, trade between Brazil and expressing his hopes that the various Mozambique exceeded US$74 million. companies will continue to invest in the country. Brazilian companies occupy many areas and sectors in Mozambique, particularly Nyusi asked the Portuguese businessmen within the extractive industry. to become “ambassadors” of Mozambique in terms of attracting investment, stressing Source: Voice of America the importance of peace and stability.

Confindustria Marche to engage in a “Portuguese entrepreneurs play an business mission to Maputo in August important role because, when investing in Mozambique, they give us expectations of The Confindustria Marche Federazione peace”, said Nyusi. Regionale Degli Industriali, in collaboration with the Italian Ministry of The President also highlighted the Economic Development, the Ministry of diversity of Portuguese investment. Foreign Affairs and the ICE-Agency, is scheduled to travel to Maputo from 30 Three of the companies invited are from August to 2 September to engage in a the banking sector (BCP, Caixa Geral de business mission. Depósitos and New Bank), three from the construction sector (Teixeira Duarte, The initiative, to be held in conjunction Mota-Engil and Soares da Costa). The with the Maputo International Trade Fair other companies present at the dinner (FACIM), will be led by the deputy included Galp, Portucel, Visabeira, minister of Economic Development, Carlo Entreposto, Contact and JFS. Calenda. The aim of the mission is to

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The ambassador of Portugal in Maputo, roughly 54 square kilometres of the 205 José Augusto Duarte, pointed out that: square kilometre blocks that it had earlier “these businesses are not here because acquired”, a senior coal sector official said gas and coal was discovered, they had on the condition of anonymity. “The already been here for some time, decision was taken following completion representing investments in several of a near three-year exploration areas”. The ambassador also added that, programme”. going forward entrepreneurs should receive benefits from these resources, as At the time Coal India acquired the two this will “increase activities because blocks, it was assumed that they everybody wants to enjoy the best contained a mix of high quality coking coal possible benefits”. and lower grade thermal coal. There were hopes of reserves of perhaps as much as According to the Portuguese ambassador, a billion tons. “We were told that 20% of the 12 companies/investors contributed the deposits in these blocks are expected towards an overall investment of nearly to be of superior variety, good enough to US$1 billion in the last five years and be used in steel making, while the created over 22,000 jobs. remaining was expected to be thermal coal that could be used as fuel in power Last year (2014), Portugal was the fourth plants. It seemed a viable option at that largest foreign investor in Mozambique, time”, said the official. behind the UAE, Mauritius and South Africa. But on exploration, Coal India found that 75% of the area contained nothing that Source: SAPO/Lusa could be called coal. By then the state-run miner had invested close to Rs.500 crore Coal India to relinquish 75% area of in acquiring and exploring the two blocks. Mozambique coal blocks It also had to renew its licence during this period. State-run miner Coal India will relinquish 75% of its licence area in “The quality of the reserve at a large area (consisting of two coal blocks). of the two blocks does contain carbon, but it is not good enough to be called coal”, a Coal India was granted a five-year licence senior Coal India executive said, for exploration and development of the A1 requesting anonymity. “This reserve and A2 blocks in a previously unexplored cannot sustain a 12% rate of return on part of Moatize (Tete Province), investment in the medium to long run. approximately six years ago. Simply put, it is not coal”. The move follows the local government’s It took Coal India almost two years to decision to double the charges of holding explore the entire area. Sample coal was the blocks, which have thus far not sent to India for analysis. Coal India had yielded any coal worth the effort. earlier envisioned production from the “At a board meeting last week, it was blocks by 2014, but delays in awarding decided that the foreign subsidiary of Coal the exploration rights postponed the India, Coal India Africana Ltd, would keep process. Renewal of the licence also added to the delay.

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The miner planned to bring the mined coal feasibility study (BFS) is due in six months to India to meet the nation’s rising and production a year later. demand for thermal and coking coal. Prior to this, recoveries of greater than Coal India lost approximately a year in 80% from the sulphide ore had been appointing an explorer for the blocks. It achieved. had to scrap tenders twice due to technical reasons. However, at laboratories in Perth (Western Australia), where 737 kilograms The previous UPA government was in of core was shipped, recoveries of favour of importing coal to meet the between 91% and 94% were achieved, domestic requirement. But the NDA Xtract reported. government is keen on attaining self- sufficiency in coal production and hopes The work also showed that cash costs of to stop import of thermal coal within the the project could be substantially reduced. next five years. Thus, foreign acquisition of thermal coal is not on the government's Chief executive Jan Nelson said that: priority list any more. “The flotation results commissioned by the Auroch team show a considerable If the anonymous Coal India executive is improvement in recoveries of sulphide right, then the company has been zone. extremely unlucky, since Moatize district sits on vast coal seams, which other “This will impact significantly on the companies, notably Vale of Brazil, are potential revenues that the project could exploiting. generate.

Source: The Economic Times/Agencia de “Lower mass pull results recovering more Informacao de Moçambique than 50% of the gold at less than 10% and gravity concentration at a coarser Test results from Fair Bride ore grind recovering up to 70% of the gold at underlines project’s credentials - a much reduced energy consumption are Xtract expected to substantially reduce the cash costs of the project. This clearly highlights Recent flotation test results on drill core the quality of this project and the potential taken from the Fair Bride gold project in returns Xtract could generate from this Mozambique have underlined the project”. potential returns the site could generate, Xtract Resources told reporters. An earlier scoping study indicated revenues from the mine of US$55 million Last week (26 June to 3 July), the firm annually based on 50,000 ounces per announced that it had purchased the year of gold production, cash costs of Manica gold licence from Auroch Minerals US$650 per ounce and an open pit for US$12.5 million. operation for five years and three years underground. The acquisition includes the Fair Bride open pit project, where a bankable Resources are estimated at 900,000 ounces from 3.5Mt at a grade of 3.01

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grams per ton (g/t) with start-up costs of explore mining. However, it was only in US$28.4 million. A further US$14.8 million January that shareholders approved will be needed for the underground shifting the focus to mining, following a development. US$6 million cash injection.

Fair Bride represents approximately 10% Mustang is also exploring for graphite on of the total licence at Manica and there the Balama deposit in Cabo Delgado are significant opportunities to increase Province, alongside projects of Triton the gold resource through exploration, Minerals Ltd and Syrah Resources. said Xtract. Source: Africa Intelligence Source: Proactive Investors Galp points to integrated development Mustang Resources places a big bet as the main challenge for Mozambique

Exploring for oil and gas only six months The chairperson of Galp Energia’s Board ago, Mustang Resources Ltd could soon for International Affairs, Paulo Varela, become Mozambique’s first alluvial says that integrated development is the diamond producer. main challenge for Mozambique, and that the country’s economic growth should not The Australian firm has just identified gem be limited to the extractive sector. quality diamonds on its Save River project. Between the end of March and “The future of Mozambique lies not only in June this year (2015) Mustang carried out its gas and coal, but in the development of sample drilling on its concession number the entire economy in an integrated way. 4525L, where it acquired a 51,85% stake This is the main challenge for the last September (2014) from Mozvest country”, Varela told reporters, speaking Mining Limitada. on the sidelines of the ‘Infrastructure and Logistics Challenges’ conference recently As the drilling proved positive, the firm is held in Maputo under the auspices of the now buying new equipment to extract Economic and Social Forum of more samples and extend drilling on its Mozambique (Mozefo). second concession, 4969L, on which it acquired a 50.7% holding from Save River Source: Lusa Diamonds Pty Ltd last August. Approved mega-projects still not Mustang is now determined to become operational the first producer of diamonds on the Mozambican side of the Marange Three approved coal projects in Tete diamond field, which is extensively mined Province are still not operational. in Zimbabwe. This was announced following a survey by Headed by Ian Daymond, Mustang had the Institute of Social and Economic previously been known as OGI Group Ltd, Studies (IESE), which reveals that eight of and explored for oil and gas in the United the 13 major projects approved in the last States. Operational issues and the drop in 13 years in Mozambique (corresponding the oil price prompted the firm’s board to

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to 60% of the approved investment value Micro-grid is a small-scale power grid that for mega-projects) are still not operational. provides electricity to remote regions. It can operate either connected to an According to the IESE, this is due to outside power grid or independently. significant delays or cancelations. Source: Korea Joongang Daily A preliminary assessment conducted in Gaza, Nampula, Tete and Cabo Delgado A million Mozambicans have access to indicates that roughly half of the total energy private investment projects approved and listed by the Investment Promotion Centre According to data revealed in Maputo in (CPI) are not running or are not known to the course of a debate on the theme of the locals. ‘Energy asymmetries: challenges and opportunities for the development of The IESE states that it believes that the Mozambique’, one million people living in non-implementation of projects stems the country now have access to electricity. from the international financial crisis, and the logistical problems that exist in parts Mozambique has great hydroelectric of the country; both have had an impact potential, estimated at approximately on the development of investments. 12,000 megawatts (MW). Of this, roughly 2,075 MW is currently generated at the Source: O País Cahora Bassa Dam on the Zambezi River. Kepco becomes first Korean electricity provider in Africa Of the country’s total hydroelectric output, only 22% is consumed domestically, most Korea Electric Power Corporation (Kepco) of it by the Aluminium Smelter Company launched the first overseas trial of its in Mozal. The remainder goes to micro-grid power system. On Monday (6 neighbouring countries like South Africa July) the Korean electricity supplier said and Malawi. The year 2030 was set as the that it broke ground on the system in target for universal access to energy. Mozambique on Friday (3 July), the day after it signed an official contract with Individual households represent 20% of FUNAE. all energy consumed in Mozambique, but experts consider that access to energy in Kepco stated that it is the first Korean Mozambique is intrinsically linked to company to operate an electricity citizens’ purchasing power. business on the African continent. The high cost of energy, poverty, The micro-grid will be set up in underpaid agricultural employment and Mahanhane, Boane City (approximately a the increase in public debt are seen as two hour drive from Maputo). Once the factors mitigating against universal access system is completed in November, it will to clean, renewable energy in be able to provide steady power to Mozambique. roughly 50 homes, schools and community centres. Source: Notícias/Televisão de Moçambique

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Hidroeléctrica de Cahora Bassa of the board of Eskom, the South African invests US$10 million in various national electricity operator. projects in Tete Province Source: Africa Intelligence Hidroeléctrica de Cahora Bassa has invested over US$10 million in the Huawei eyes Mozambique and Angola implementation of various economic and social development projects in areas such Chinese ICT solutions provider and as: the expansion of the electricity manufacturer, Huawei, has identified network and water supply, the Mozambique and Angola as having strong rehabilitation of roads and the potential for its business in Africa. construction of health facilities and According to the company’s vice- schools. president for southern and eastern Africa, The investments were made as part of the David Wang, while these markets are not company’s social responsibility the fastest-growing for Huawei’s business, programme in and around Cahora Bassa, they’ve seen solid GDP growth and have Mutarara and the Songo village. strong “human resources” which the company hopes to better tap into. Source: Canal de Moçambique The laying of the submarine South Two former generals invest in the Atlantic Cable System, set to link Luanda electricity business (Angola) with Fortaleza (Brazil), is expected to considerably cut the costs of Attracted by the growing need for data. The cable will also link regional electricity in the country, two companies African countries. have joined forces to create a Joint Venture company in Maputo, specialising “It’s a very good thing to connect the in low, medium and high voltage continents and provide more bandwidth equipment, under the name Incomati for the whole industry”, Wang said during Power System. a media roundtable last month (June).

The first of the two partner companies is “Currently, across the whole African API Investimentos, which is well- continent, every country has its own fibre connected in influential Mozambican optic backbone. But interconnection circles. It was created in 2012 by the across borders? So far we haven’t seen former head of the Mozambican air force, much of this”. João Americo Mpfumo and the former general chief of army staff, Paulino José However, South Africa, Nigeria, Egypt and Macaringue. Kenya remain the fastest-growing markets for Huawei, which supplies various The second partner in Incomati is the products – including mobile phones, South African firm High Voltage modems and dongles. Technology, which was founded in 1994 and headed by Ganas Naidoo. The latter Last year (2014) the company imported is related to Pat Naido, who is a member approximately one million of its smartphones into South Africa. “If you

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look at the industry, you will always find Vietnam develops seed rice for that if the population is there, the Mozambique opportunities are there”, Wang added. Vietnam will spend over US$2 million While voice services remain strong in developing seeds to be used in a large- Africa, the company sees huge demand scale rice production project in Zambézia for data, and has laid over 50,000 Province, said the Vietnamese kilometres of fibre optic cables across the ambassador to Mozambique. region to help stimulate its data service business. Nguyen Van Trung, who was speaking at the Mozambique/Vietnam Business “We need to encourage end-users to Forum held last week (26 June to 3 July) consume data as much as possible”, he in Maputo, between Mozambican and continued. “That is why operators today Vietnamese businessmen, also said that realise that we need to embrace OTT”. the project aims to ensure food security in the province, which is still suffering the OTT services or apps, like WhatsApp, can effects of floods that occurred earlier in bring in revenue for telecommunication the year. companies in the form of data usage. “So for Africa, the data service era is coming, The ambassador also announced that but currently the infrastructure, especially Vietnamese entrepreneurs would, for the the connectivity, is not sufficient. And this first time ever, attend the FACIM, which is why we need 5G, because big data is takes place from 31 August to 6 needed to meet more demand”. September.

While many developing countries now Vietnam is currently involved in several have 3G and 4G in urban areas, Wang projects in Mozambique, notably in notes that Africa has been slow on the agriculture; aquaculture; uptake, with major cities in South Africa telecommunications and trade, and last offering a limited 4G network, but not year the country invested over US$400 much elsewhere. million in Mozambique, following the acquisition of the country’s third mobile “So according to the data requirements, telephony license. and what we need to do to meet it in the current situation in Africa, connectivity is With diplomatic relations since 1975, the most important – not only for urban areas two countries posted two-way trade in but also for those living in rural areas”. 2014 of US$100 million.

Increasing internet connectivity, he added, The Mozambique/Vietnam Business will require the contribution of both Forum was organised by the Vietnamese government and private sector Embassy, the Association of Small and stakeholders. “ICT is not just one industry. Medium Vietnamese Enterprises, in co- It has already become an engine that ordination with the CTA, the CPI and the pushes GDP growth and contributes to Mozambican Association of Small and the whole of society”. Medium-sized Businesses.

Source: How We Made It in Africa Source: Macauhub

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Strategic ‘textile parks’ to streamline faces a severe short-term challenge in the cotton sector reviving cotton production in the province.

The government intends to create three Source: Notícias ‘textile parks’ as a way of boosting the country’s cotton sector. The parks will be Microbank promises financial inclusion located in Sofala, project (Zambézia) and Nacala (Nampula). The parks will host small industries centred The Botswana-based microcredit around the processing and storage of institution, Letshego, announced in cotton. Maputo on Wednesday (8 July) that it will be launching a new “financial inclusion” The information was released by the project to reach the poorest strata of director of the National Institute of Cotton, Mozambican society and the most remote Norberto Mahalambe, who also revealed parts of the country. that the government is currently negotiating with several investors who The chief executive officer of Letshego- have expressed an interest in building and Mozambique, Chipiliro Katundu, told managing the facilities. reporters that the objective of this micro- credit bank, which operates in all The initiative aims at “empowering the Mozambican provinces, is to use country for the consumption of domestic “innovative financial solutions” to improve production and increasing the number of the economic conditions of the cotton producers”. It is also aimed at Mozambican public. encouraging the emergence of more industries whose main raw material is Letshego became operational in cotton. Mozambique in 2011, and has become one of the most sought after financial Source: Canal de Moçambique institutions, since it only charges an interest rate of 4% on its loans, making it Number of cotton farmers decline in much more attractive than any other Sofala commercial bank.

The number of cotton farmers has Letshego claims that it has lent MT4.25 declined sharply in , a fact billion (approximately US$112 million at that worries the authorities involved in the current exchange rates). It offers loans of production of the cash crop. between MT3,000 and MT500,000.

10 years ago, Sofala had approximately Letshego was established in Botswana in 15,000 cotton farmers. Today, that 1998, and also operates in Lesotho, number has halved. The delegate of the Namibia, Rwanda, Swaziland, Tanzania Cotton Institute in Sofala, César Marrama, and Uganda. It is the largest company explained that cotton producers no longer quoted on the Botswana Stock Exchange. find the crop profitable, and many were switching to food production. Marrama Source: Agencia de Informacao de made it clear that the Cotton Institute Moçambique

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Groups from Dubai and Thailand invest Maputo fish market to open this month in real estate in Mozambique The new Maputo fish market will open this Accommodation and lodging capacity in month (July) in phases, starting with the Maputo will increase from November with main pavilion, while the construction of the opening of Torres Rani, a construction kiosks and parking is yet to be completed. project presented on Tuesday (7 July). The project is expected to cost US$206 According to Notícias the building is million and is the result of co-operation already painted, with some of the stalls between Rani Investment, based in and equipment already in place. Dubai, and the Minor Hotel Group of Thailand. The same source also reports that the ice- making facility has been completed. Built on 71,000 square metres in a prime area of the Mozambican capital and However, despite the fact that the main overlooking the sea, the two towers building is in an advanced stage of presented on Tuesday have a residential construction, the same cannot be said for complex with 181 furnished apartments, the kiosks. and an executive complex, with an area of 22,000 square metres of office space, According to Arnaldo Monteiro, Municipal plus two floors of covered parking. The Director of Markets and Fairs, the kiosks majority of the apartments will be will only be ready in November. managed by the Radisson Blu Hotels & The parking area also has not yet been Resorts group, while the remainder will be cleared, and trees need to be felled placed on the market under lease, a before work can begin. process that has already been launched by a specialised company. Source: Folha de Maputo

The Managing Director of Rani 21 countries confirm participation at Investment, Salim Bitar, who spoke on Mozambique trade fair Tuesday at the presentation of the project, said that Torres Rani was “a quality At least 21 countries have already development with high standards of health confirmed their participation in the FACIM and safety, interior design and to be held from 31 August to 6 September maintenance services, which responds to in Marracuene (). new demand for leisure, business and high-quality housing in Maputo”. Rani According to the Chairperson of the Investment has done business in Mozambican Institute for Export Mozambique for over 15 years and owns Promotion, Joao Macaringue, another four hotels in the country, including the seven countries have expressed interest Avani Pemba Beach Hotel (in the in attending the event pending a final province of Cabo Delgado), the Anantara decision in the coming days. Bazaruto Island Resort & Spa, the Anantara Medjumbe Island Resort & Spa The organisation estimates that the and the Radisson Blu. number of visitors for the 2015 FACIM could reach 85,000. Source: Macauhub

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Registration began in February; however, organisation and raise awareness, so that according to the source, the number of more national and international participants began increasing (specifically companies sign-up. He said that in respect of domestic firms) since the end Mozambique was committed to of June. convincing countries that are still undecided. Macaringue said that during the month of July, the idea is to streamline the Source: APA/Star Africa

POLITICS

Labour minister pledges support for The association has already received a ex-miners association variety of support from the government, and Diogo is assessing how effectively On Thursday (2 July) Labour Minister, this aid has been utilised. She appears Vitoria Diogo, pledged continued satisfied, because she promised that, government support for the Mambadine later this year, the machine they Agricultural and Livestock Association, requested will be acquired. (in the southern province of Inhambane), which was set up by Diogo also announced that the former miners and the widows of government has a plan Mozambican miners who died in the to drill 25 boreholes, one of which will be South African gold and platinum mines. in Mambadine. The district government will also provide farmers with improved Diogo met with members of the seeds. association in Massinga district, as part of her working visit to the province. Later that day, Diogo visited the Inhamussua Agricultural Institute, in Set up in 2008, the association focuses , where she was briefed on agriculture, poultry-breeding and on professional training projects for other livestock, and possesses a flour young people aged between 17 and 29, mill that processes maize. in areas that include metalwork, agricultural processing, sewing and During the meeting, the association said dressmaking. that they need improved seeds, and a machine to clean the maize before it is The Minister encouraged the trainees to milled. work hard, in order to establish themselves as self-employed artisans. In response, Diogo said that: “the In their discussions with her, some of government will continue to support this the trainees said that they wanted to join association and the population of associations where the skills they have Mambadine, so that people can acquired will be productively applied. continue working and producing food. This means fighting poverty”. Others said that they wanted to set up their own businesses. Diogo praised

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their dynamism, and promised that the and for the renovation of the Cuamba- government will continue to encourage Lichinga railway. initiatives of this nature. The railway line is located near the Source: Agencia de Informacao de northern rail corridor that runs from the Moçambique port of Nacala, through Nampula and Cuamba to the Malawian border. It was Cuamba residents ask Nyusi for formally a lifeline for much of Niassa, improved transport but regular trains stopped running along it decades ago, partly because of the On the first day of a working visit to the civil war, and partly because of the poor northernmost province of Niassa, state of the track. Promises made by the President Filipe Nyusi faced complaints private-led consortium running the about the poor state of roads in the northern corridor to rebuild the Cuamba- province. Lichinga branch line have never been honoured. At a rally in the city of Cuamba on Friday (3 July), residents demanded that Nyusi promised the crowd that work on work on paving the road between the railway line will resume this year, or Malema (in the neighbouring province of in 2016 at the latest. The work on Nampula), and Cuamba must be rebuilding the 268-kilometre line is speeded-up. budgeted at US$120.5 million, and should take approximately 25 months to They noted that the stretch of road complete. The contract was signed in between Nampula city and Malema had 2014 with the Portuguese company been completed, but there were huge Mota Engil. delays in the work on the Malema/Cuamba stretch. Three years “The railway line has almost reached after the contract was awarded to the Mitande (about half way between Portuguese building company Gabriel Cuamba and Lichinga)”, he said. “We Couto, it has not progressed beyond the are not talking about a project that is not phase of earth movement. going to be achieved”. The contract for the entire road is Nyusi also promised that it would soon estimated at US$315 million, which is a be possible to drive all the way from million dollars per kilometre. Maputo to Lichinga on tarred roads. In response, Nyusi declared that: “the “There was no paved road from stretch linking Malema to Nampula city Nampula to Malema. Now there is”, he is already done. Next month the work said. The tarred road would be extended between Malema and Cuamba must be to Cuamba in Niassa, and then on to resumed, because the construction of Lichinga. this road is an imperative necessity”. Providing more detail on the roads, the People at the Cuamba rally also called Minister of Economy and Finance, for a tarred road between Cuamba and Adriano Maleiane, said that funding the Niassa provincial capital, Lichinga, already exists for tarring the road from Malema to Cuamba and on to

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Massangulo. Funding was still being But all these plans can only come to sought for the final stretch, between fruition if peace prevails. “Those who Massangulo and Lichinga, but Maleiane are creating conflict are not helping is confident that the work will be Mozambique”, said Nyusi, clearly completed within the next five years. referring to the former rebel movement, Renamo. “Peace is our daily bread”. “By that time, the road connection from Maputo to Nampula, and on to Niassa He warned the crowd that his will be complete. This will considerably government will only promise to do what reduce the price of goods, as will the it is confident it can carry out, and not conclusion of the Cuamba-Lichinga (promise) everything that it would like to railway”, said Maleiane. do.

Nyusi, whose professional background Nyusi also visited the construction site is that of a senior railway engineer (with of a new water treatment and CFM), visited the line and took a ride in distribution system for Cuamba, a locomotive along the first three designed to minimise the dramatic water kilometres. shortages that have long-tormented the city. The new system will more than The President also promised the rally quadruple the capacity to distribute that: “we shall build electricity clean water, and will benefit 72,000 infrastructures throughout the country people. and promote the construction of dams”. Since the electricity generation capacity The new system is budgeted at of the Cahora Bassa Dam (on the MT656.6 million (roughly US$17 Zambezi River) is now at full capacity, million). Construction of the system, alternatives sources of hydroelectric which should be completed in October, power need to be created, he stressed. has created 300 jobs.

According to the President, two large Source: Agencia de Informacao de capacity transformers will be installed Moçambique/Jornal Notícias shortly in the Cuamba municipality, with the object of strengthening the quality Mozambicans do not need any more and accessibility of electricity in the enemies – Nyusi area. President Filipe Nyusi declared that the Nyusi said that efforts were already enemy facing the country is poverty, and underway to improve the quality of Mozambicans should not have to deal electricity in the municipality, in order to with any other enemies. ensure public lighting for the city. Speaking at a rally in Lichinga (Niassa The object, according to the President, Province), Nyusi stressed the need to is to ensure that electricity is supplied preserve peace; because only with through the urban network from the local peace could Mozambicans deal with EdM substation. poverty. Mozambicans do not want to go-to-sleep, and then wake up the

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following day to discover that they are Nyusi promises bridge over Lunho facing a new enemy, he said. River

“We want the armed forces (FADM) to On Sunday (5 July) President Filipe defend Mozambicans, our national Nyusi announced in the town of sovereignty and our riches, and not to Metangula () that work have to fight against other on a bridge across the Lunho River will Mozambicans”, said Nyusi. “Peace, begin next year (2016). national unity and the defence of sovereignty are among the Lunho is a small river north of government's main priorities”. Metangula, which flows into Lake Niassa. A bridge here would make it To maintain peace, he added, the easier for people to travel overland from government will continue to rely on Metangula to Messumba, Mbamba, “dialogue between brothers”, so that war Chia, Kobwe and other areas near the never returns to Mozambique. “When lakeshore. we are two brothers fighting, we are two poor people fighting”, said Nyusi. “Let’s Currently these places can only be fight against poverty, our only enemy. I reached via small boats. am President of all Mozambicans, and so I am prepared to enter into dialogue Nyusi reiterated that he has added the with everybody”. improvement of Niassa’s transport links into the government’s poverty reduction Responding to one of the Lichinga plan. “Mozambicans have already residents who spoke at the rally, Nyusi identified their enemy, which is poverty”, confirmed that he intends to hold he said. “We shall promote another face-to-face meeting with development, in order to meet the needs Renamo leader, Afonso Dhlakama. The of the poorest strata of our population. two leaders met twice in February, and Mozambicans are fighting for roads, Nyusi was able to persuade Dhlakama bridges, schools, hospitals, electricity to call-off the Renamo boycott of the and water. They are striving to do away newly elected Parliament. with poverty”.

“He’s a Mozambican, and I can According to President Nyusi, among communicate very well with him. So we the weapons that need to be applied to shall have to sit-down together again”, the fight against poverty are agriculture, said Nyusi, to applause from those fishing, forestry, mining and the attending the rally. development of tourism. The latter could be of particular importance for Nyusi said that ideas from other political Metangula, given its spectacular parties are welcome and, if they are location on the pristine waters and feasible, he will take them seriously, just beaches of Lake Niassa. as he takes seriously ideas from members of his own Frelimo party. President Nyusi added that the lake contains more than a thousand species Source: Agencia de Informacao de of fish. In addition to edible fish, this Moçambique includes many brightly-coloured

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ornamental fish, much in demand for Bit by bit, these universities will set up aquariums. President Nyusi said that facilities elsewhere in the province, and fishing on the lake is a resource that can will eventually reach Metangula. be exploited sustainably. Much of Niassa is densely forested. The Source: Agencia de Informacao de President emphasised that these forest Moçambique/O País resources should only be applied to winning the battle against poverty. New inspection vessel for Lake Niassa “The fight against poverty is a fight for everyone”, he said. “All of us need to be On Sunday (5 July) President Filipe involved”. He cautioned, however, that it Nyusi inaugurated a new fisheries would “not be possible to solve all the inspection vessel on Lake Niassa, problems at once”. baptised the ‘Ngolokolo’,

As has become the theme of his José Ntaia, head of the inspection presidential visits to the provinces, department in the Niassa Provincial people at the Metangula rally were Fisheries Directorate, said that the asked for their suggestions. Their ‘Ngolokolo’ will greatly contribute to requests included: a higher education covering the entire 245 kilometre length institution in the province, an institution of the lake on the Mozambican side. of technical and professional education, “We can now work with confidence in and the introduction of semi-industrial covering the entire extent of the lake”, fishing on the lake. he said.

President Nyusi said that most of these The new vessel joins three small patrol priorities are already covered in the boats in protecting the lake from illegal government’s Five-Year Programme, fishing. An agreement on fishing adding that: “the government’s boss is disputes currently exists with Malawi, the people. The people have to say which owns two islands inside what is what they want us to do”. otherwise the Mozambican portion of the lake. According to President Nyusi, the Five- “What we are doing is promoting Year Programme is not only based on the Frelimo election manifesto, but also discussion and sharing information on the election manifestos of various about the use of fisheries resources”, other parties as well. said Ntaia. President Nyusi also inaugurated a The government is working on expanding secondary education, and photovoltaic power station in the setting-up a technical and professional , which has the capacity education college. Only at a later stage to generate 550 kilowatts of power. This can a university be established in the station has the capacity to supply district. But there are already four electricity to approximately 1,000 universities in the provincial capital, households, and a number of local Lichinga, and one in Unango, he said. social and economic projects.

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The energy generated by the station Nyusi visits Niassa’s AC-Matama comes from 2,495 solar panels. The Agro-Industrial Complex power station is run by FUNAE. President Nyusi urged FUNAE and On Monday (6 July) President Filipe Mavago communities to co-ordinate with Nyusi visited the African Century- the district administration, in order to Matama Agro-Industrial Complex (AC- develop a management model that will Matama) on the outskirts of Lichinga contribute to integrated development, (Niassa Province). and generate revenue that will gradually pay for the US$13 million investment The director of AC-Matama, Sergio needed to build the station. Gouveia, told the President that the complex has been in operation since President Nyusi told the Mavago 2012, and it currently produces soya residents who attended the meeting that and maize for animal feed. The complex it had only been possible to build the is awaiting the arrival of electricity in power station because of an order to begin producing frozen environment of peace and tolerance. He chickens. urged his audience to continue cultivating that environment. In order to establish the complex, the British company African Century, and The power station was built with funds the Mozambican Malonda Foundation, provided by the South Korean invested US$4.5 million. Of this sum, government, and is the third US$1.8 million was spent on purchasing photovoltaic power station to be equipment such as tractors, combine established in Niassa. The others, harvesters and sprayers. financed by the Mozambican government, are located in the Muembe Previously, the soya used to make and Mecula districts. animal feed was imported from Argentina and India, but AC-Matama The chairperson of the FUNAE board, decided to produce the soya locally. Miquelina Menezes, said that the Gouveia said that AC-Matama now Mavago station is the largest of the produces 1,500 tons of soya and 1,200 three in terms of generation capacity. tons of maize annually. The availability of electricity in Mavago could attract private investment in Without electricity, AC-Matama cannot industries to exploit and process the produce its own animal feed. precious stones known to exist in the Consequently its soya and maize is sent district, as well as in agro-industry to the factories producing feed at Lioma based on local production of maize, in the neighbouring province of beans, oilseeds and vegetables. Zambézia, and in the city of Nampula.

Source: Agencia de Informacao de Once AC-Matama has power for its Moçambique plant, producing poultry feed, it hopes to become a major supplier of chickens for the domestic market.

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“Currently we are expanding the area The Frelimo majority in the Assembly, under irrigation, so that we can reduce and the government, have ignored these dependence on rainfall”, Gouveia told threats, and so far Dhlakama has been President Nyusi. The company has unable, or unwilling, to carry them out. 3,800 hectares of land, but so far it is only cultivating 1,800 hectares. Speaking at a former Renamo base in Macoca (in the central province of Source: Agencia de Informacao de Manica), at a ceremony marking the 35th Moçambique anniversary of the creation of the Renamo Women’s Detachment, Dhlakama threatens to once again Dhlakama threatened to expel paralyse the EN1 highway government administrators from the six provinces. He claimed that he would not Renamo leader, Afonso Dhlakama, has need to use force to do this - although in once again threatened to “govern by the same speech he also promised to force”, if the government does not “govern by force”. submit to his demands. He threatened to use Renamo’s militia Renamo wants to establish provincial to close the main north-south highway municipalities in six northern and central (EN1) to traffic. This was a threat to provinces (Manica, Sofala, Tete, revert to the tactics used in 2013, when Zambézia, Nampula and Niassa). As Renamo launched a low-level Dhlakama has repeatedly made clear in insurgency in the central province of public statements, the “presidents of the Sofala. Between June 2013 and August provincial councils” in these provinces 2014, Renamo gunmen ambushed would not be elected - he would appoint vehicles on the 100 kilometre stretch of them. highway between the Save River and the small Sofala town of Muxungué. The Renamo would also appoint all the attacks forced the government to district administrators and heads of administrative posts. organise military escorts for convoys of vehicles along this stretch of road. Since the proposal would allow Renamo to take over the government structure in “I shall paralyse the road and say that no vehicle passes today”, Dhlakama the six provinces, from top to bottom, it is not surprising that Parliament, where menaced. He also threatened to forcibly the ruling Frelimo Party holds a majority “evacuate” public buildings and expel of 144 of the 250 seats, rejected the the administrators appointed by the government, “without waging war or Renamo bill (advocating this proposal) earlier this year. beating-up anybody”. He did not say what he would do if the administrators On Sunday (5 July) Dhlakama said that refused to go and the local police units he was running out of patience. He has put up resistance. issued several ultimatums, warning Frelimo that, unless it changes its mind, If Frelimo “continues to play around”, and passes the Renamo bill, he will then Renamo “will govern by force”, he seize the provinces he wants anyway. said - a threat which Dhlakama has

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made, in almost identical words, many peace. They recognise the government times before. structures that exist in the country and they applauded the governors, because Source: @Verdade/Folha de they knew that they were working on Maputo/Lusa/Agencia de Informacao de behalf of all Mozambicans. Moçambique President Nyusi went on to ask how “The solution is not to dismiss the someone could dismiss a person that he governors” – Nyusi had not put there himself, pointing out that the only person who could fire During a recent press conference in someone was the person who appointed Lichinga (Niassa Province) President him. Filipe Nyusi stated that it does not make sense that, after he was elected as Source: Folha de Maputo/Jornal Notícias President, someone else should also claim to govern. Public Works Ministry discusses resilience to floods “After the elections, where we all fought hard, a winner was declared. The world Integrated and co-ordinated flood recognised him, and now someone management, through developing and comes along and says that he should be harmonising laws, policies, strategies ruling. It would be a duplication of and funding is amongst the measures governance. To the world, it would seem suggested by the Ministry of Public a little ridiculous”, added President Works to ensure that infrastructures are Nyusi. more resilient to natural disasters.

According to reports, President Nyusi The ministry also suggests stated that he did not want to get into a strengthening the decision-making “war of words”, but that he wanted to model for: territorial planning; investing discuss the matter, so that people would in the management of water resources realise that the solution was not to go and protection against floods; about dismissing governors. President strengthening technical and institutional Nyusi also said that there are some capacity; establishing minimum criteria things that run counter to the will of the for safety standards; and planning people, stressing that he knows what based on information about extreme the people’s concerns are. events.

The President was responding to a Speaking on Monday (6 July), at the question about recent comments made opening of a Maputo meeting called to by Renamo leader, Afonso Dhlakama, reflect on the resilience of who said that he would dismiss the infrastructures to floods, the Minister of governors of the six regions where he Public Works, Carlos Bonete, said that claims victory in last October’s elections. Mozambique is one of the African countries most exposed to cyclical In addition, the President said that in all natural disasters, such as floods, the places that he had visited, including droughts and cyclones. Lichinga, the people were calling for

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This exposure results from its location Governor of Maputo calls for the downstream of nine rivers, which are payment of taxes prone to frequent flooding. The Governor of Maputo Province, “The scenario is a matter of concern Raimundo Maico Diomba, has urged all because the country does not possess inhabitants of the Mulotane, Matola and sufficient financial resources to respond, Boane-river communities to pay their on a cyclical basis, to the need to National Reconstruction Taxes, in order restore infrastructures after damage is to contribute towards strengthening the caused by floods”, said Bonete. State’s ability to improve the living conditions for all citizens. He put the losses, caused by the floods in the 2014-2015 rainy season in central Diomba made the appeal in the Boane and northern Mozambique at US$500 district, whilst delivering three new million. Among the infrastructure ambulances to the local hospital. destroyed were 55 bridges, 3,344 school classrooms, 22 health centres, “Today we deliver these ambulances to and 21,000 houses. Faced with this reduce some of the problems that harsh reality, Bonete stressed the Mulotane, Matola-Rio and Boane importance of a comprehensive encounter when it comes to healthcare. assessment of mechanisms for reducing It is, however, necessary that each the vulnerability of infrastructures, based citizen contributes by paying the on an analysis of past events and the National Reconstruction Tax...” said damage they have caused. Diomba.

The object of the meeting, attended by According to data, in 2007 the Mulotane former leaders of the ministry, locality had a population of 13,500 academics, development partners, and inhabitants. Current data, however, figures who have participated in suggests that there could potentially be construction programmes, was to over 16,000 inhabitants living in the identify structural solutions that can be community, living predominantly on added to current policies, in order to subsistence farming. influence the performance of stakeholders in economic planning and Celso Manjate, head of the Mulotane development, which can then contribute district, subsequently addressed towards reduced vulnerability. Diomba - on behalf of the local community. According to Manjate, the The one-day meeting discussed themes community lacks adequate classrooms, such as: “floods in Mozambique: particularly at the local primary school, causes, management, impacts and where all classes take place outside. challenges; challenges and opportunities for the development and Manjate also discussed issues management of infrastructures resilient concerning the expansion of the local to floods”. electricity network, the lack of drinking water, the need to restock domestic Source: Agencia de Informacao de livestock and the high crime rates in the Moçambique area.

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In response, Diomba stated that all of city of Matola (Maputo Province) where the concerns had been noted and will be she will engage in a working visit until lodged with the central government for Monday (13 July). discussion. During her stay, the minister will Source: Jornal Notícias supervise all local agencies to ensure that they are carrying out their duties to Namaacha residents to gain better the best of their abilities. access to drinking water On Friday (10 July), Namashulua met More than 17, 000 inhabitants of the with the president of the Municipal Namaacha village will benefit from the Council and his organisation. The construction of more boreholes, thus meeting addressed issues such as: the reducing the scarcity of drinking water in structure and function of the municipal the area. The new boreholes will cost bodies; the composition of the Municipal the local municipality approximately Regulation Council; the concerns of the MT3 million. citizens; and the relationship between the City Council, District Government According to local mayor, Jorge Tinga, and other state institutions. the city council acquired the funds from local coffers, and is currently seeking Focusing on the issue of human additional funding via various resources, the minister said that she will partnerships to ensure that more addressing: the working conditions of boreholes are constructed in the future. staff; pensions and those who have reached retirement age; the training of The lack of water, resulting from poor municipal technicians; the rainfall in the area over the past few implementation of the decree years, is not the only problem facing the concerning the settlement of contracts residents of Namaacha. Traffic of state agents and the personal congestion has become a major registration organisation; the annual problem and as a result of this, the local classification of the municipality officials; council has launched a public tender for and “proof of life” in respect of the construction of a new 830 meter employees on the State’s payroll. paved road, parallel to the main road. Construction is expected to start later Subsequently, the minister met with the this year. president of the Municipal Assembly, followed by another meeting concerning The project is valued at MT5 million. a City Council report. The minister then visited the sites of two projects currently Source: Jornal Notícias being financed by the urban poverty Minister Namashulua on official reduction programme (PERPU). working visit to Matola Source: Jornal Notícias On Wednesday (8 July) the Minister of

State Administration and Civil Service, Carmelita Namashulua, arrived in the

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Complete inventory of State owned activity, efficiently and rationally, “so that property in Mozambique to be ready they can serve more citizens in the in six months future”.

On Wednesday (8 July) Prime Minister Source: Agencia de Informacao de Carlos Agostinho do Rosario launched Moçambique the government’s campaign to draw up a complete inventory of state property. Renamo deputy suggests HIV test before marriage This initiative is part of a drive to improve the management of public On Wednesday (8 July) Renamo MP, finances. The government has vowed to Américo Ubisse, put forward a novel undertake a complete inventory every idea for tackling the high rates of HIV five years. It will take six months to carry prevalence in the country. However, the out the full inventory. suggestion was immediately rejected by Frelimo deputy, Beatriz Chaguala, as At the Wednesday launch, Rosario “absurd”. stressed that the property owned by the state is growing continually, thanks to Ubisse suggested that couples should public investment, including the building take a HIV/Aids test before marriage, as of more schools, hospitals, water, roads, this might slow the spread of the bridges and other infrastructure. disease, especially among young people. “Valuing state assets requires individual and collective responsibility of all This idea was immediately dismissed by managers of the public administration, Chaguala, rapporteur of the and of the country in general”, he said. parliamentary office for the prevention and fight against HIV/Aids (the person Rosario challenged public managers to appointed to report on the contribute to the development of the proceedings of its meetings), who public sector by guaranteeing the spoke of the fear that tests could maintenance, conservation and increase stigma and discrimination in responsible use of all existing state society. property, and also that which may be acquired in the future. The point was raised on Wednesday during the first session of Parliament, He said that the object of the current which discussed the report of the campaign is to identify all state assets, parliamentary office for the prevention in order to update the existing records of and fight against HIV/Aids. state property. He hoped that this would lead to rationalisation, better priorities Source: O País for public expenditure, and an improvement in accountability.

The Prime Minister called on all Mozambicans to use the State’s fixed and movable assets, in each sector of

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Nyusi urges OMM to reach out to Nyusi called on the OMM to play a women with differing knowledge and pioneering role in the promotion of opinions national unity and internal cohesion within Frelimo, guided by the On Wednesday (8 July) President Filipe constitution of Frelimo. Nyusi, speaking in his capacity as president of the ruling Frelimo Party, “The OMM does not want Mozambican urged the Mozambican Women’s women to be used to stir-up divisions Organisation (OMM) to promote a among us, to promote exclusion or permanent dialogue and consultation foster political self-exclusion”, he added. with all Mozambican women without discrimination. After recalling that the OMM was set up during the independence war (on 16 Such a dialogue, he claimed, would March, 1973), by the then president of allow the identification of concerns, Frelimo, Samora Machel, to face the expectations and contributions of all challenges of national liberation, the society in the search for joint, President said that the emancipation of representative and sustainable women was not just a doctrine, it is a solutions. vehicle to achieve further national development. Nyusi was opening a meeting of the National Council of the OMM, which is “Forty years after our independence”, he affiliated to Frelimo, in Xai-Xai (Gaza added, “Mozambican women now have Province). The meeting lasted until the space to affirm their freedom and to Friday (10 July). contribute actively to the development of Mozambique”. “The scale of the OMM’s success depends on its support and humanism “Today women are doctors, nurses, towards other women with differing teachers, police officers, architects, knowledge and opinions, inviting them sportspeople, artists. Today women are to adhere to or accept our principles of entrepreneurs and business people”, the patriotism”, said the President. President said. “Today women are fundamental and tireless contributors at Praising the role of women in society, the forefront of the country’s the President stressed: “your role in all development”. aspects of our lives is always present in my soul”. Highlighting this encouraging scenario, the President nevertheless pointed to “Let us define the project which allows challenges facing women, and society in us to continue to promote the human general, which deserve greater development of Mozambique. This attention, such as: the alarming rate of should include and prioritise: the dignity chronic malnutrition among children of women; respect and value for their under the age of five (43%, according to opinions; and enhance the recognition one recent survey). This is a public of their important role in our society”, he health problem, and fighting it depended urged. on a balanced diet for children, “which

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can be disseminated by women, by mother, Marta Andre Bocota (see mothers”. “Other” section for more).

According to the President, the The presence of the current First Lady, HIV/AIDS epidemic is a further Isaura Nyusi, at the meeting caused challenge. Fighting it requires more than some speculation, but Machute made it medical intervention, it requires courage clear that Guebuza is still the president and determination. “Without healthy of the OMM. people, it will be difficult for society to survive”, added the President.“Our “According to our Statutes, the president primary duty is to defend our own lives, of the OMM is proclaimed at the so that we can give life and love to our Congress”, she said. “Until our neighbours”. Congress is held, Maria da Luz Guebuza remains our president. So I The meeting examined a report from the cannot say that we are going to replace OMM national secretariat, covering the her. We are not going to do anything organisation’s activities from August until we hold the Congress”. 2014 to June this year. It also discussed a date and venue for the next OMM Isaura Nyusi was on the podium at the Congress. Council meeting, simply because “she is the wife of the President of our Frelimo Source: Agencia de Informacao de Party, and we are an organisation Moçambique affiliated to Frelimo. We have to give prominence to key personalities”. OMM not expected to change leaders until congress Likewise the current OMM General Secretary, Maria de Fatima Pelembe, No changes are expected in the will retain her position until the end of leadership of the OMM at the meeting of her term of office - even though the OMM National Council, held in Xai- President Nyusi has appointed her Xai (). deputy minister of veterans’ affairs.

The Council’s spokesperson, Maria Machute saw no reason for Pelembe to Machute, told reporters on Thursday (9 resign, since there was nothing July) that the president of the OMM incompatible in being both a leader of remains Maria da Luz Guebuza, wife of the OMM and a member of the former president Armando Guebuza, government. and she will remain in office until the next OMM Congress (the date and “Our General Secretary lives in Maputo. venue for which have not yet been She directs the organization from there”, fixed). said Machute, “and she is perfectly entilled to accept the government Guebuza was not present at the position entrusted to her”. meeting because, like the rest of the Guebuza family, she is in mourning over The agenda for the meeting included a the death of the former president's series of lectures and discussions on topics that include HIV/AIDS, breast and

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cervical cancer, the government’s Five- on the issue of pensions and promoting Year Programme, xenophobia and social inclusion of former combatants. intrigue. Gundiwa also held a courtesy meeting Reporters were surprised to see the with the provincial governor of Nampula term “intrigue” on the agenda, but and the administrators of the districts. Machute hastened to assure them that The minister also met privately with there are no intrigues inside the OMM, resident combatants, in order to become and the discussion was only “a form of acquainted with the problems faced by precaution”. this social group.

“There aren’t any intrigues among the Source: Jornal Notícias comrades”, she claimed, “but intrigue is a heavily-used means of Renamo dissidents call for dismissal communication. Often intrigue is a of provincial delegate negative means of communication, and we want to take precautions against A group of 21 people, claiming to be this. That’s why we’ve put the theme on Renamo members in the northern city of our agenda”. Pemba, have accused the Renamo Cabo Delgado interim provincial Source: Agencia de Informacao de delegate, Tome Fernando, of theft, Moçambique negligence and nepotism.

Gundiwa engages in working visit to The group, which includes local Nampula Renamo political delegates, and “regulos” (traditional chiefs), have sent a On Thursday (9 July) the Minister of letter to the daily newspaper Notícias, Combatants, Eusébio Lambo Gundiwa, claiming that Fernando had stolen an initiated a six-day working visit to unspecified sum to equip a mini-bus he . During his visit, owns, that allegedly ferries passengers Gundiwa will travel to Nacala, Monapo, between the towns of Montepuez, Meconta, Muecate, Ribáue and Rapale. Balama and Bairoto.

The working visit is aimed at assessing They claim that Fernando does not put the level of compliance with the in an appearance at the Renamo programmes outlined by the provincial offices, and that, during the 15 government, within the framework of October general elections, he did not socio-economic integration policies for distribute Renamo’s copies of the voter combatants and the preservation of the roll to the party’s delegates in the polling historical heritage of the country. stations until three hours after the polls had already opened. They believe that In addition, Gundiwa will address the this contributed to Renamo’s poor resident combatants on matters results in Pemba. concerning the challenges and goals set out by the government within the new They allege that Fernando had governance cycle, specifically focusing interfered in the order of names on the Renamo lists of candidates for the

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country’s Parliament [the Assembly of the party. They were expelled from the the Republic], for the Cabo Delgado party years ago, and the case is before provincial assembly and, a year earlier, the courts”. for the Pemba Municipal Assembly. He changed the lists, they claim, so that his “They’ve been doing this for 20 years”, relatives and friends would stand a said Fernando. “This time they tricked a greater chance of entering the group of young people into signing the Assemblies. letter they sent you. Later the youths discovered the truth and came to the The letter also says that Fernando held party to denounce the allegations”. a two-day seminar for Renamo district delegates, but expelled two of them He claimed it was “a criminal matter”, (identified as Arlindo Zacarias and and Renamo would take it to the Americo) for poor personal hygiene. The provincial attorney’s office. group claimes that Fernando accused the two of “not taking baths and not Source: Jornal Notícias/Agencia de brushing their teeth, and hence the flies Informacao de Moçambique follow them”. Mozambique and the United Kingdom The group said that they do not want to strengthen partnership for Fernando to remain as provincial prosperity delegate, “and we blame the national Mozambique and the United Kingdom headquarters because it does not (UK) plan to strengthen the relations consult us. The party’s general between the two countries and secretary (Manuel Bissopo), and its consolidate the effective Partnership for President (Afonso Dhlakama), when Prosperity, initiated in 2014, following they come here, do not meet with or discussions on how to maximise the listen to the grass-roots structures”. opportunities in areas of common The letter announced that the group is interest. setting up a four member commission to This proposal was discussed by the run the Renamo organisation in Cabo High Commissioner of Mozambique in Delgado, until elections can be held for the UK, Carlos Santos, and Baroness a new provincial leadership. Lynda Chalker, at the official reception th When Notícias contacted Fernando, marking the 40 anniversary of national who was in Montepuez at the time, he independence (on 3 July), held at the asked the paper not to publish the Institute of Directors in London. allegations. The celebrations were attended by “What they’re saying is not true”, he members of the diplomatic corps, said. “This isn’t news. Let us investigate businessmen, academics, the matter first. Don’t publish this”. representatives of non-governmental organisations and representatives of the He recognised that the group exists but Mozambican community (most notably claimed they were “marginal figures who the association House of Mozambique want, at any cost, to stain the image of

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and the Mozambican Women’s During the meeting Chissano formally Organisation). congratulated President Lungu for having won the presidential elections in The UK government was represented by January 2015. the Baroness, a member of the House of Lords and honorary citizen of Chissano said that he has heard many Mozambique, as well as other senior good things about President Lungu, and officials. that his hopes for Zambia have been reignited because of him. Speaking on the occasion, Ambassador Santos highlighted the joy and pride felt Chissano expressed his hopes that by all Mozambicans on the occasion of President Lungu will revive the bilateral the 40th anniversary of national relations between Zambia and independence. Mozambique, dating back to the days of former president, Kenneth Kaunda. In turn, Baroness Chalker emphasised the qualitative and quantitative growth of President Chissano (who is deputy bilateral relations between the two chairperson for the Peace Parks countries in recent years, particularly in Foundation), also asked President respect of political, financial and Lungu to try and convince his fellow diplomatic relations. SADC leaders to take a special interest in wildlife conservation. In this context, the Baroness mentioned the decision taken by the two In return, Lungu accepted the invitation governments to improve and strengthen to become the Goodwill ambassador for the level of relations to achieve the “high the Peace Parks Foundation in the level of partnership for prosperity”, region. approved in 2014. The two representatives subsequently discussed Source: ZNBC how they intend to improve and maximise opportunities in areas of “Ematum debt is sustainable” - common interest, for example: Alberto Chipande agriculture, mining, financial services On Monday (6 July), former defence and the business environment minister Alberto Chipande came to the (specifically British investment), and defence of the US$850 million loan that education/training. Ematum raised on the Eurobond market Source: Jornal Notícias in mid-2013.

Chissano meets with Zambian Chipande, who enjoys great prestige as President in Malawi the man who fired the first shots in Mozambique’s war for independence, Former president Joachim Chissano claimed that the Ematum debt is recently held bilateral talks with sustainable. Zambian President Edgar Lungu in Malawi. He believes that the creation of Ematum is part of “the strategy for the economic

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liberation of Mozambique”, and that the The Ematum accounts for 2013 and loan has also contributed to the defence 2014, published in May, paint a bleak of Mozambican territorial waters. picture of the company’s finances. The accounts show that in 2014 Ematum The initial purpose of the loan was to made a loss of over MT850.5 million purchase 24 fishing vessels and six (roughly US$24.9 million). The patrol boats from a shipyard in the accumulated losses - from 2013 up to French port of Cherbourg. December 2014 - were MT1.17 billion. Ematum’s own funds are therefore Chipande stressed the need to defend deeply in the red, at minus MT1.16 Mozambique’s maritime borders. “This billion. all has to be defended”, he declared. “We Mozambicans have to seek all This is a situation that clearly worried possible means to survive as a Ernst & Young. In its audit report, it sovereign country”. pointed out that the continuity of Ematum’s operations “is strongly In the past tuna fishing in Mozambican dependent on a capital structure duly waters has been conducted almost supported by the shareholders and/or by exclusively by foreign vessels, and the financial institutions, as well as on only benefit Mozambique has derived is profitable operations in the future”. from the payment of licence fees. It is hoped that the Ematum loan will be the Speaking in Parliament, on 18 June, basis for a thriving Mozambican tuna Maleiane revealed that the loan carries fishing and processing industry. the very high interest rate of LIBOR (London Inter-Bank Offered Rate) plus Chipande argues that people should 6.5%. ignore accusations that some of the Ematum money was being stolen. “What It is repayable over seven years, with a was stolen?” he asks. “The government two-year grace period, which is about to decided to resort to indebtedness, and expire. nowadays money is not given away. We had to give an undertaking and so we Maleiane certainly does not believe the gave that undertaking”. Ematum debt is sustainable, and wants to re-negotiate it. The debt is currently The State needs tuna fishing boats and split in two - the fishing assets, valued at patrol vessels, and so “the debt is US$350 million, the responsibility of sustainable in terms of the interest of Ematum itself, while the State is the state”. required to repay the other US$500 million. But among the voices raised, querying the sustainability of the debt, are: the “Seven years is a short period to repay consultancy company Ernst & Young, US$500 million, even with a two-year which audited the Ematum accounts; grace period”, said Maleiane, the Minister of Economy and Finance, “particularly at this high interest rate. We Adriano Maleiane; and former Prime are trying to negotiate a longer Minister, Luisa Diogo. repayment period, and a lower interest

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rate, and our partners, including the said that the money was for items such IMF, agree with us”. as radars, satellite communications, on- shore installations, transfer of Diogo has expressed serious concern technology, licence fees, training, and about the country’s level of running costs and the payment of indebtedness, and particularly the interest on the loan for the first year. Ematum debt. But he gave no detailed breakdown of “Something went wrong with the these costs, failing to tell Parliament Ematum business plan - structuring the how much money was to be spent on debt at such a high level, because it's each of these items. not a small debt. There was a failure in structuring the debt”, said Diogo. Until such an itemised breakdown is made available, suspicion remains that “When we accept a debt, we must there is something illegitimate about the always bear in mind the sources for re- Ematum loan, and that this will continue paying it”, she said. “We must always to haunt the government. pose the worst scenario, which is what happens when the company is unable to In the meantime, on Tuesday (7 July), re-pay. For a company to pay a Frelimo deputy and former finance particular sum, it must be structured in a minister, Manuel Chang, once again particular way, and know how much it refused to discuss the matter of the has to produce, if the debt is to be paid”. Ematum scandal, stating that: “whenever we have the opportunity to Diogo points out that if, for example, a reduce the debt conditions, it is always company has to pay US$200 million a good. So be happy”. year in debt servicing “then it must produce at least 700 to 800 million Chang was referring to the debt dollars a year”. Yet the most optimistic renegotiation process, recently forecast (from the government) is that proposed by Maleiane. when the Ematum fleet is fully operational, its fishing activities will bring Source: Agencia de Informacao de in revenue of only US$196 million a Moçambique/Rádio Moçambique/O País year. The fishing deal gets fishier Furthermore, there has still been no detailed explanation on what exactly the At the public expense, the government loan is being spent on. The initial is set to rescue the controversial state tuna-fishing company, Ematum, from estimate of how much the 30 boats built in Cherbourg would cost, according to imminent collapse. the French press, was €200 million On 18 June, Finance Minister Adriano (approximately US$220 million). So Maleiane confessed to Parliament that what is the purpose of the remaining the US$850 million bond that the US$630 million of the loan? government is currently backing was a Speaking in Parliament in late 2013, the bad deal and needs restructuring. Yet then fisheries minister, Victor Borges, the government is still holding on to the

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idea that the tuna-fishing element of the France’s Constructions mécaniques de deal is viable. However, according to Normandie (CMN), the patrol boats Africa Confidential, there is no serious include untested 42-metre high-speed prospect of tuna fleet profits repaying trimarans, which one naval defence even a tiny fraction of the money due on expert told us were completely the bond. unsuitable for the often stormy seas of the southern Indian Ocean. Although the According to Africa Confidential, the 24 fishing vessels have now been tuna fleet was a fig-leaf designed to delivered, the trimarans, and other conceal a massive maritime protection expensive patrol vessels, will not meet and security deal from which senior the required specifications to do the job, figures in the governing Frelimo and there is a severe shortage of trained expected to make vast profits. Frelimo crews. The expert thinks the boats are may also have spent some money from vastly over-priced. the deal in questionable ways, for example to ensure its controversial Former president Armando Guebuza victory in last year’s presidential election has attracted most of the blame and (15 October 2014). The price of some of some Mozambicans, including senior the vessels is so unfeasibly high, say Frelimo figures, have even been calling fishing and naval experts, that it may be for his arrest. Ex-finance minister concealing the secret purchase of other Manuel Chang, who signed the Ematum military equipment. It may also, they deal in secret without it going through say, be covering up bribes and the proper channels in his Ministry or kickbacks. being debated in Parliament, is also in the crosshairs. The financial crisis into which Ematum has plunged the country is enormous. State Guarantee: “Once again, I am beginning to have nightmares about the Mozambican Mozambique may be ill-equipped to pay debt”, said former Prime Minister, Luísa the interest due on the bond. However, Diogo, who (as finance minister) helped the viability (or otherwise) of Ematum to negotiate a massive foreign debt was of no concern to investors in the cancellation. Maleiane told shocked bond, because it came with a state members of Parliament that the total guarantee. Mozambique waived its right debt due on the bond, which matures in to sovereign immunity, meaning that 2020, will be US$980 million when investors can sue it if it does not pay. repayments start this year. Over the Last December (2014), the IMF deemed next five years, at least US$235 million Ematum one of the country’s two will have to be found every year and it is greatest fiscal risks, and issued strong the public who are most likely to be warnings about the potentially stuck with the bill because Ematum can disastrous effect. Considered by the generate only risible revenue. Fund to be sovereign debt, because of the state guarantee, the US$850 million The deal has saddled Mozambique with used up a huge chunk of the total second-rate and over-priced fishing US$1.2 billion that the government is vessels and naval patrol boats. Built by allowed to borrow at commercial rates.

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Last week, the IMF called for ‘stronger US$500 million of the loan, which it has controls’ over state-owned companies in already been forced to make provision its fourth review, under its Policy for in the state budget. Support Instrument programme. This, and a terse reference to In December 2013 Chang, in his ‘macroeconomic policy slippages’, are capacity as minister, announced that the veiled references to the Ematum project, government would take-on US$350 we understand. Behind the scenes, IMF million of Ematum’s debt after criticism of the Ematum affair has been controversy erupted over the fact that fierce. Under pressure from the IMF and the deal included armed naval vessels. bilateral donors, Ematum finally Ematum has been publicly presented as published its accounts on 1 June. They a fishing concern - pure and simple. revealed that the company cannot make Chang claims privately, we hear, that he its first bond repayment, due this was under duress when he signed the September, and made a loss of US$25 state guarantee for the Ematum bond, million in its first year of operation, while which was not lawful at the time. interest due was almost US$35 million. Parliament has hastily had to pass a new law raising the limit for a state Ematum managers have tried to explain guarantee from US$6 million to US$500 the losses, citing start-up costs and an million. unfavourable exchange rate, but the message from the auditors is clear. At first, the cost of all the vessels Ernst & Young conclude that: “the ordered was estimated at a little under continuation of operation … is strongly US$300 million. This sum, the dependent on a capital structure government has confirmed, was to buy properly supported by the shareholders 24 fishing and six patrol vessels. When and/or by financial institutions, as well it came out that national defence was as the achievement of profitable involved, the state was forced to take-on operations in the future”. They also draw some of the cost. Now, Ematum’s attention to the “loss of more than half accounts indicate that the cost of the the capital” of the company. The boats is even greater, and so is the part significance of the auditors’ judgment is of the deal destined for maritime clear: unless there is a big bailout, or an security. In May, the provision in the operational miracle, the company will go defence budget for debt originally broke. incurred by Ematum was quietly increased to US$500 million, after State burden: further international pressure for transparency. The State, which as guarantor of the bond has been left holding the baby, The Deal: can ill-afford the repayments. It has already implemented an austerity One main aspect of the original deal, budget this year to bring its ballooning that has raised much suspicion, is the deficit down from 10.4% to an estimated fact that Ematum spent all of the 6.5% of GDP. The government is US$850 million in one go, instead of directly responsible for repaying scheduling payments over time and making them conditional on suppliers

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meeting their obligations. The contract is militarised speedboats – are using with Abu Dhabi Mar LLC, based in the reconditioned engines. These United Arab Emirates’ capital, and the interceptors cannot have cost Ematum parent company of Cherbourg-based as much as a completely new vessel: a CMN. As matters stand, there is no figure of US$100,000 per boat is a more money to pay for fishing infrastructure or plausible value than the apparent tens to staff and train the patrol boat crews. of millions of dollars, the sources suggest. Ematum’s Chief Executive Officer, António Carlos do Rosário, has no It also makes little sense that the known qualifications for running a remaining 18 vessels should cost maritime organisation. He is an officer US$635.5 million, when original with the feared intelligence service, the announcements placed the value of Serviço de Informação e Segurança do these same vessels, plus 12 more, at Estado (SISE). US$300 million.

Although SISE’s social security fund, the When Chang announced that the state Gestão de Investimentos, Participações was taking on the cost of the naval e Serviços (GIPS), part-owns Ematum, vessels, it was assumed that the Rosário seems to owe his position to the remaining US$500 million from the bond Frelimo elite rather than to his expertise. issue would be used by Ematum for “This is the first experiment in hiring, training and building operational Mozambique of a company like ours”, capacity. Yet Ematum has made it clear he admitted to a local newspaper, that all the money was spent on without apparent irony. equipment.

He has not been asked, and has not In its accounts, Ematum lists the five defended, the extraordinary decision to fishing vessels it had received at that spend all the company’s capital so early point as its own assets. In the apparent in its history, and with no provision for confusion of how the assets and debt recurrent expenditure such as training are allocated, there is another glaring and salaries. Ematum has already anomaly: the high value of the five announced that it is laying-off staff fishing vessels. Ematum lists its tangible because of the shortage of funds, and assets as worth just under US$210 the SISE link may be affecting the zeal million, US$113 million of which covers of government members for scrutiny. these five vessels. This values each Thinly-veiled threats about the personal vessel at a highly improbable US$22.6 safety of those in government judged to million. Commercial fishing experts who be too inquisitive about Ematum have have observed the boats in Maputo port already been made, according to a say they are old models, built with re- government source. used steel hulls and not worth more than US$500,000 to US$1 million each Pricey Boats: at the very most. (Steel hulls are not used in modern trawlers because Reports from security sources in lightweight hulls permit large savings on Mozambique say that the single-hulled fuel). interceptor vessels – essentially,

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The figures are equally implausible that from the start, the interceptors and when the naval vessels are accounted other equipment were not intended to be for. The three trimarans, which are openly attributed to Ematum, despite experimental and use the latest being bought with the company’s technology, could not possibly be worth money. enough to make the overall figure of US$635.5 million for the trimarans and Banks and Bonds: 24 fishing vessels to be remotely plausible. All of this has led to intense Crédit Suisse managed the original questioning about why the boats should bond. We hear it is considering appear to be so expensive. extricating itself from the deal on the grounds that it did not realise that the Missing Equipment: bulk of the money would be spent on defence equipment. A risk for the bank There has been speculation about why is that investors may complain that they all the vessels are not accounted for in believed they were investing only in a the Ematum contract and that other, civilian fishing fleet. Evidence that the secret arrangements are in place. “It’s Ematum deal started life with national my guess some Frelimo ex-generals security in mind is strong. dreamed up a scheme to run a maritime security operation that they imagined In February 2013, Crédit Suisse would make them a great deal of money produced a feasibility study for a from protection of the offshore gas rigs”, maritime security project to accompany one seasoned observer told Africa a US$372 million state-guaranteed loan Confidential. “But they didn’t plan it to a Mozambican company called correctly and now they find themselves Proindicus SA, which is jointly owned by with a lot of pricey boats and no one to the Interior and Defence ministries and sail them”. SISE. The loan was to fund a contract already signed between Proindicus and Lawyers who have looked at the the Abu Dhabi branch of Privinvest discrepancies say that the logical Shipbuilding SAL (Holding). explanation is that there is some kind of “side contract” or additional, secret Privinvest owns 30% of Abu Dhabi Mar contract that accounts for the rest of the and its owner is Iskandar Safa, the equipment. It could include, for example, Lebanese businessman who is also the price of the reconditioned MiG-21 CEO of Abu Dhabi Mar and believed to fighter-bombers and associated be a personal friend of the Guebuza equipment that Mozambique is reported family. The deal was a turnkey project to to have purchased in Romania. The be paid up front. It included the state has taken US$500 million of the procurement of 12 interceptor vessels. Ematum loan into the defence budget. The deal with Crédit Suisse was signed This suggests that the money may have many months before Ematum was been used for other military purchases. officially set up, we hear.

The loan participation notes issued to When the Ematum deal was first struck, investors by Crédit Suisse mention only there had been much talk in Maputo 27 vessels, not 30, which could mean security circles about government

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obtaining arms to defend the country In 2013, the then fishery minister, Victor and its oil resources. Many of those Borges, claimed that a turnover of familiar with the deal believe that, far US$200 million was feasible. Data from from being a tuna company that Mozambique’s one existing large fishing acquired a security dimension, this was ship, and the 125 or so foreign boats an arms deal all along. The tuna fishing licensed to fish its waters each year, was added later on as cover, these show that the country’s 24-strong fleet sources say. The deal was unique in the would need impossibly large catches. speed at which it unravelled and the Turnover is now more realistically aimed lack of forethought put into it. Many at US$3 million a month. attribute this to the high level of secrecy and how rapidly Guebuza pushed it Desperate to show angry, and through. That is typical of bond issues in interested foreign donors, something for many developing countries, where all this trouble, Ematum invited powerful politicians can borrow money television cameras aboard to film its for pet projects, with additional corrupt operations. Yet the footage showed that benefits, and leave the consequences to most fish caught by the long-liners were future leaders. marlin, a protected species. Photographs of the Ematum catches in The Elusive Tuna: the local press showed mostly sharks. Some are believed to be hammerheads, Astonishment still governs most another protected species. This is not responses to the details of how the unusual, since tuna are predators and Ematum was supposed to make money. sharks are often in the same catch. Originally Chang said that there had They are worth far less, however, unless been a feasibility study but then he caught only for their fins, a delicacy in refused to share it. It is an China (but a practice widely condemned embarrassingly amateur document that as environmentally harmful) and banned drew, crudely, on decades-old studies, in many countries. The suspicion that insiders tell Africa Confidential. The the Ematum boats have been catching country produced a ‘Tuna Fleet sharks for their fins are strong, Development Plan’ in 2012, but especially since Ematum, we have nowhere did it suggest procuring a learned, now has a shark-fishing whole new fleet or that Ematum could license. generate the extraordinary revenue claimed by the government. Source: Africa Confidential

SECURITY

Security forces in Tete agents to the province of Tete since last week (26 June to 3 July). According to unconfirmed information, the government has been sending officials According to information, allegedly from a from the FADM, including battalions of the source within the Local Command, the Rapid Intervention Unit (FIR) and SISE troops have been instructed to neutralise

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the local Renamo bases and militia in the Please note: Canal de Moçambique is province. According to the anonymous widely regarded as an anti-government source, this is because the Renamo militia newssheet. have been engaging in attacks against the local government troops and their bases, Source: Canal de Moçambique inflicting significant damage and injuries. Vietnam and Mozambique deepen ties Another source stated that the troops are in security and finance in the area to conduct field work and gather intelligence, with the object of On Sunday (5 July) the Vietnamese preventing any possible attacks against Ambassador to Mozambique, Nguyen President Filipe Nyusi, who is scheduled Van Trung, met with Interior Minister, to travel to Tete shortly for a brief visit. Jaime Monteiro, in Maputo, with the aim of expanding co-operation between the According to the second source, there has two countries. been at least three attacks on Renamo bases in Tete lately: however, the source Trung stated that his country is very claims that some of the FADM troops pleased with the excellent relations (who do not agree with their mission) between Vietnam and Mozambique. have been feeding information to the During the meeting the two Renamo militia, who have been able to representatives pledged to deepen co- counter the attacks almost every time. operation ties with regards to security and finance. As a result thereof, Trung The latest ambush, according to the announced that his country will continue source, occurred on 27 June when the to train members of the Police of the FIR attempted to penetrate a Renamo Republic of Mozambique (PRM) – thus base in Mojo, Tsengo district. The pledging to train 50 officers at Vietnam’s Renamo men were informed of the People’s Police Academy during 2015. planned raid and setup a counter- ambush. The ambassador thanked Monteiro for Mozambique’s continued efforts in While a FIR unit, disguised as local ensuring the safety of the Vietnamese traders combed the local market, the capital and investments in Mozambique Renamo militia ambushed them and (specifically the Viettel Group). opened fire, injuring all four FIR agents. For his part, Monteiro spoke highly of the According to the second source, the local collaboration between two security population had purposefully provided the ministries in implementing the co- FIR agents with false information as to the operation agreements with regards to the whereabouts of the Renamo base, thus fight against crime and the delivering the four FIR agents into a trap. implementation of various training programmes. In addition, Monteiro One of the agents, identified as Nelson assured his guest that Mozambique Joaquim Sengo was shot three times (in remains committed to the safety of the the shoulder, waist and leg). He remains Vietnamese community living in the in the Tete Provincial Hospital, according country. to Canal de Moçambique.

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He added that information-sharing governing and structuring the PRM. The between the two countries regarding main purpose of the review is to initiate trans-boundary crimes has made the procedures for the institutional significant contributions in ensuring public restructuring of the PIC. order and safety for residents. Monteiro stated that the institution also The minister commended the co- intends to obtain approval for the operation between the law enforcement legislation establishing the Civil agencies of the two countries in the fight Identification Service with regards to the against poaching and the illegal trade of Code of Identity Card (ID), and the endangered species and their parts. He revision of Decree-Law 3/2009 of 24 April, hailed the Vietnamese Embassy’s efforts which creates the National Public Safety in communication and public awareness Service (SENSAP), which guides the drives concerning the protection and actions that fall within the process of conservation of wildlife and natural reform and institutional development of resources. the Ministry of Interior.

Monteiro thanked Vietnam for their Monteiro said that the main challenges support in training and sharing their currently facing his ministry concern the experiences with the Mozambican police, improvement of the PRM, specificlly in announcing that he is planning to visit terms of preventing and combating violent Vietnam in 2016. crime, particularly: kidnappings; homicides; robberies and rape; as well as To date, Vietnam has helped trafficking in people; drugs; firearms and Mozambique train two interior ministry illegal immigration. This is crucial in terms officials and 29 policemen. of the dynamics of economic and social development in Mozambique, and its Source: Vietnam Net/Folha de Maputo/A Bola regional and global integration. The PRM is lnow under pressure to permanently PIC could be restructured adapt its behaviour and reactions, so as The Criminal Investigation Police (PIC) to maintain and guarantee public order could be restructured. This was and safety, including a reduction in road announced by Interior Minister Jaime accidents. Basilio Monteiro during a hearing held on “Under the Civil Identification, the biggest Monday (6 July) within the Defence challenge focuses on the need to ensure Commission, Public Order and Security of expeditious issuance and delivery of ID’s the Parliament. to Mozambican citizens”, said Monteiro. The minister was conducting a working According to the minister, the country visit to the institution at the time as to currently has three ID production units, learn about its organisation and operation. with the capability of producing approximately 7,000 tickets per day. According to Monteiro, the Council of Ministers is scheduled to submit a With regards to migration, the institution proposal to Parliament with the aim of focusses on the need to strengthen the initiating a timely review of the law capacity of passport and travel document issuance, the computerisation of the visa

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process, and the control of migratory During the meeting, MPs and members of movement. the committee complained of the length of time it takes to acquire IDs and other “In the area of public safety, we intend to identification documents, the lack of strengthen the response capacity in logistic resources within the PRM and the human and material resources in order to high levels of illegal migration as cope with fires, accidents, floods and contributing factors with regards to the other disasters, saving human lives and poor performance of the police. property”, he said, adding that the institution will not neglect the need for the Source: Jornal Notícias permanent cleansing of its ranks, including the improvement of measures for recruitment, selection and training of its employees.

CRIME

MAP 1: KIDNAPPING INCIDENTS IN CENTRAL MAPUTO 2014 & 2015

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GRAPH 2: REPORTED KIDNAPPINGS PER YEAR

35 31 30 30

25

20 16 14 15

10

5

0 2011/2012 2013 2014 2015

GRAPH 3: TIME OF KIDNAPPINGS 2014 & 2015

10 9 8 7 6 5 4 3 2 1 0 00:01 - 04:00 04:01 - 08:00 08:01 - 12:00 12:01 - 16:00 16:01 - 20:00 20:01 - 00:00

Note: This graph excludes kidnappings in which the time of the kidnapping was not reported

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GRAPH 4: KIDNAPPINGS PER GENDER / AGE-GROUP 2014 & 2015

9 8 7 6 5 4 3 2 1 0 <18 19-36 37-54 55-72 >73

Male Female

*Please note: the data present in the graphs and maps is not 100% accurate owing to the high number of unreported cases and irregularities in the documentation of these events. This graph illustrates the successful kidnapping incidents ONLY and not attempted/aborted/intercepted kidnappings.

24 foreigners denied entry into Malawian national arrested in Tete for Mozambique murdering his wife

During the course of last week (26 June During the course of last week (26 June to 3 July) the PRM denied 24 foreign to 3 July) a Malawian citizen was citizens entry into Mozambique. arrested in the town of Katopé, Makanga district (Tete Province) and According to reports, the 24 foreigners charged with murdering his 47-year-old were found to be in possession of fake wife during an argument. visas and passports. In the same week, two individuals were During the same period, the PRM arrested for illegally possessing a repatriated 14 foreigners back to their firearm while attempting to rob a country of origin. Of those repatriated, residence in the city of Beira (Sofala eight were Ethiopians and six were Province). In total, last week the PRM Bengalis. detained no fewer than 1,793 individuals, 1,655 for border violations Source: @Verdade and the other 138 for various other crimes.

Source: Folha de Maputo

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Labour Inspectorate dismisses 77 The three men managed to steal MT5 illegal workers from STEVAL million before fleeing the scene. Mozambique According to the PRM, they have During the course of last week (26 June already uncovered potential clues which to 3 July) the General Labour may lead them to the perpetrators. Inspectorate dismissed 77 illegally employed foreign workers from STEVAL Information suggests that, business and Mozambique Lda. bank robberies have increased in Tete since the beginning of this year. In the Of the 77 workers, 44 were of Indian first six months of 2015, nine bank nationality. 24 were South Africans, robberies and three business robberies eight were Zimbabweans and one was a (predominantly shopping centres) were Dutch national. According to the Labour robbed in Tete. Inspectorate, the Maputo based company did not comply with the Source: Canal de Moçambique employee requirements set out by Mozambican legislation. As a result Woman murdered by her boyfriend in thereof, all 77 workers were dismissed, Chamanculo the company was sanctioned and all On Friday (3 July) 23-year-old Elsa activities were immediately suspended. Bunga was murdered by her boyfriend Procedures are currently underway with in Chamanculo (Maputo Province). regards to the repatriation of the 77 According to initial reports, Bunga was foreign nationals. allegedly beaten to death by her Source: @Verdade boyfriend, a 36-year-old primary school teacher. Gunmen target BCI branch in Tete The Police Command of Maputo City On Wednesday (1 July) three men, believe that the murder was a crime of armed with pistols, robbed the Banco passion. Comercial de Investimentos (BCI) in Angónia (Tete Province), fleeing with The perpetrator dumped Bunga’s body approximately MT5 million. in the street before fleeing the scene. According to police spokesman, Orlando The three men entered the bank, posing Mudumane, the body was only as potential clients, and asked to meet discovered 36 hours after the murder. with the branch manager and the assistant manager as they had some Mudumane confirmed reports that the financial questions. accused had attempted to escape, however, he was apprehended and is Once inside the manager’s office, the currently being held at the 18th police three men pulled out their weapons and station, where he is awaiting trial. demanded money. Source: Folha de Maputo

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Members of the Báruè Community Matola resident arrested for Police accused of beating a citizen to murdering his neighbour death On Wednesday (8 July) 27-year-old T. On Saturday (4 July) members of the Alexandre was arrested in Matola Nyatsanze Community Police in Báruè (Maputo Province) for beating his () allegedly beat local neighbour to death. resident, Manuel Domingos Joaquim, to death. The incident occurred on Monday night (6 July) in the neighbourhood of Matola According to witnesses, the incident “A”. According to reports, Alexandre occurred during an argument between beat Justin Mathe to death as to rid his the members of the Community Police neighbour of bad spirits. and an intoxicated Joaquim. Alexandre subsequently cut his The incident angered locals, who neighbours body into pieces as to subsequently intercepted one of the ensure that he was in fact dead. patrol organisers, who was later handed Alexandre then removed Mathe’s over to the PRM. The remaining genitals and attempted to flee the suspects linked to the case have fled scene, however, he was immediately the area. apprehended.

Source: @Verdade Source: Folha de Maputo

Another albino teen disappears in PRM recapture three prison escapees Nampula Following last Tuesday’s (30 June) Over the course of the past weekend (4 prison escape from the Maputo Police to 5 July) a 15-year-old albino youth, Command, all three escapees have identified as Carlitos Arlindo, been successfully recaptured. disappeared from his family home in the Murrapaniua neighbourhood (Nampula Gilberto Salazar, Fernando Chambe Province). and an unnamed prisoner allegedly escaped the prison with the help of one Thus far the PRM have been unable to of the on duty prison guards. locate the young victim, and the circumstances surrounding his An investigation has been opened as to disappearance remain unclear, uncover the identity of the guard. however, the PRM are of the opinion that the victim was trafficked or sold Source: @Verdade domestically for witchcraft. Three people lynched in Sofala Since December (2014) at least six In the space of one week, three albinos have disappeared without a suspected criminals were lynched in trace from Nampula Province, and the Beira (Sofala Province). PRM fear the worst. Source: @Verdade

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The first victim, identified as 36-year-old Mozambique’s borders between 2008 Isaac Manuel Sebastião, was lynched to and 2013 cost the state approximately death in the early hours of Monday MT82 million in lost taxes. This is only morning (6 July) in the Muchatazina the contraband that the AT knows district. Sebastião is an alleged gang about. The true figure is undoubtedly member and suspected robber. much higher when all the contraband that crossed the borders without being The second victim, 27-year-old detected is also taken into account Fernando Joaquim, survived being burnt with plastic bags in the Bambu Source: O País/Agencia de Informacao de neighbourhood. Joaquim was caught Moçambique robbing a nearby house and was apprehended and lynched by an angry Crime wave hits Chamanculo “D” in mob. Maputo

Details regarding the third case are not Residents of the Chamanculo “D” yet known. neighbourhood (Maputo Province) are living in fear following a crime wave Source: @Verdade which escalated in the second quarter of 2015. AT seized 490 boxes of smuggled cigarettes in Manica According to locals, the criminals, often armed with knives and machetes, target The Tax Authority (AT) recently seized a traders of the Xipamanine market and petrol tanker carrying 490 boxes of students returning home from their contraband Zimbabwean cigarettes in evening classes. Manica Province. The robbers mainly focus their activities According to reports, the cigarettes were in what has now been termed “death on route to South Africa via row”. Death row consists of blocks 35, Mozambique when the tanker was 36, 37 and 38 and areas known as impounded 20 kilometres from the city “Xitende”, campo do Zixaxa, “Fundição” of Chimoio, after crossing the and “Belucha”. According to the locals, it Machipanda border. has become too dangerous to travel in these areas between 22:00hrs and The merchandise was later discovered 06:00hrs. in the fuel tank after local authorities became suspicious at the fact that the The locals believe that the criminals are truck driver immediately fled the scene. unemployed youths who have turned to crime as a means of survival. The vehicle was subsequently taken to the International Road Terminal of Beira According to victims, the criminals often where it was scanned. travel in groups of two to five men, who arm themselves with knives, broken According to AT chairperson, Rosario glass bottles and machetes. One victim, Fernandes, the smuggling of alcoholic a 26-year-old student, was robbed while drinks and cigarettes across walking home from classes. He recalled

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how the gang returned his university The former soldier was arrested, but two assignment to him after stealing his other members of the gang escaped on laptop computer, two mobile phones, foot. MT853 and his shoes. “This was a group that the police were According to inhabitants of Chamanculo already investigating for the theft of taxi “D”, a few months ago, one of the service vehicles”, said Mutadiua, adding criminal gangs robbed and murdered a that the group “was carrying a ‘Ruby’ local man in the “Vulcano” area. The pistol, a brand issued exclusively to the murderers have yet to be arrested. national defence and security forces’. The pistols utilise a calibre of Regarding the matter, the PRM of ammunition that is no longer standard Chamanculo “D”, represented by Artur issue in the police force. Funane, have stated that crime has always been a problem in the area, thus “We will now be able to trace the origin the local’s complaints are “normal”. of the weapon and the ammunition”, However, Funane admitted that the added Mutadiua. situation is worsening by the day, especially over festive holidays such as The spokesperson expressed concern Easter. regarding the proliferation of firearms in Manica, adding that they were thought Funane stated that the situation is “sad” to be coming in from other regions of the and he believes that the criminals country. responsible for these acts are themselves residents of the area. Source: Lusa

Source: @Verdade Local contractor attempts to bribe the Governor of Tete PRM arrest former soldier involved in armed robbery The Governor of Tete, Paulo Auade, recently revealed that he was the target The PRM have arrested a former soldier of attempted bribery by a contractor suspected of belonging to a vehicle wanting to win a civil works tender. hijack gang in Manica. Auade warned his co-workers against According to the PRM, it was discovered the phenomenon of corruption, stating that the gang was utilising army-issue that: “There was a citizen who did some weapons in their criminal activities. work in Marara, who came to me and said, if I get this state work, what will Manica police spokesperson, Belmiro your commission percentage be? I just Mutadiua, told the media that the former said, get out of here, before we both get soldier was arrested after assaulting and arrested”. robbing a taxi driver in the provincial capital of Chimoio. Police gave chase, According to reports this is the first resulting in a minor car accident. recorded case in Tete of a governor publicly admitting that he has been the

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object of attempted bribery by a relevant information during the inventory contractor. process.

Without naming the contractor, Auade Auade recently visited the Marara said that it was the first time it had district as part of his ongoing evaluation happened to him. Sometimes, he said, of the implementation of various talking about corruption makes people programmes. Residents specifically angry, but we have to fight it requested the expansion of the school nonetheless. and health systems, along with improvements to drinking water supply The surprise announcement, which took and other social infrastructure. place at the initiation ceremony of the State Inventory Drive, caused the Source: Agencia de Informacao de audience to fall dead silent, however, Moçambique Auade went on with his speech, imploring his employees not to hide any

WILDLIFE PRESERVATION

“We will not tolerate illegal logging in at the expense of communities who, in Mozambique” - Dhlakama addition to not receiving the 20% tax quota from the timber concessions, are Renamo leader, Afonso Dhlakama, is still left without schools, access to water advocating a tough stance on illegal and hospitals. logging in Mozambique’s forests and has challenged the government to Dhlakama also argued that, in areas of implement legislations that benefits the intense logging activity (i.e. in the whole population. central provinces of Tete, Manica, Sofala and Zambézia, and in the “We will not tolerate the illegal logging of northern provinces of Nampula and timber and we will be rigorous in Niassa) there are no monitoring the concessions”, Dhlakama restocking/replanting initiatives or said when asked about how he and his programmes. party would govern in the six provinces he claims to have won in the October “I dare the Sofala governor to go check (2014) elections. the concession areas. They are barren. Loggers are not re-planting in harvested Dhlakama was speaking on Wednesday areas. There are no schools, no school (1 July) in Beira, at the end of a training desks, water or roads”, said Dhlakama, session for Renamo cadres involved in who is himself a logger with the party’s autonomous provinces concessions in Caia, in the north of project. Sofala, a region that was under his control during the civil war. According to Dhlakama, most logging companies do not comply with the rules

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“In these provinces we will control The destruction of the confiscated indiscriminate logging and kick-start the wildlife products took place in ATCM, restructuring of the forestry sector by near Maputo’s marginal road at cancelling all operating licenses issued approximately 15:00hrs. so far”, he concluded. The event follows the signing of the Dhlakama said that his own company ‘London Declaration’, backed by Prince has been complying with the law, having Charles. The declaration is aimed at drilled wells and built classrooms tackling the wildlife trade, which is worth equipped with desks, adding that he approximately £12 billion globally. operates on a policy of planting three trees for each one that he cuts. The Wildlife Conservation Society (WCS) stated that over 2,400 kilograms In May 2010, Mozambique passed a law of ivory and 86 pieces of rhino horn, banning the export of unprocessed weighing 193.5 kilograms, were put to chanfuta, jambirre, umbila, ironwood, the torch in the country’s first major mecrusse (cimbirre), panga-panga and destruction of rhino horn. mondzo wood. “Today sends a message. Mozambique A 2013 report by the Environmental will not tolerate poachers, traffickers and Investigation Agency, a United Kingdom the organised criminals which employ NGO, stated that: “between 80% and and pay them to kill our wildlife and 90% of trees felled in Mozambique are threaten our communities”, said ultimately destined for China”. Environment Minister, Celso Correia.

Suspicions of corruption in the timber A recent survey indicates that industry led Sofala governor Helena Mozambique has lost approximately Taipo to impose a moratorium on 10,000 elephants, or half of its elephant operations in April, but in late May she population, over the past five years to conceded that the logging companies’ poachers who have been feeding the accounts were correct and that the demand for ivory from fast-growing percentage of income due to the Asian countries, such as China. communities was being paid. Mozambique is also utilised by Source: Lusa syndicates as a recruitment ground for poachers, who are subsequently sent Mozambique burns 2.6 tons of ivory across the border into South Africa’s and rhino horn Kruger National Park (KNP) to hunt for rhinoceros. On Monday (6 July) authorities in Maputo burned 2.5 tons of seized ivory Neighbouring South Africa lost a record and rhino horn as part of a campaign to 1,125 rhinos last year (2014), up 20% end the illicit trade that is fuelling a wave from 2013, as poachers looked to meet of poaching in Africa, a conservation surging consumption in Vietnam, where group said. the animal’s horn is sought-after as a key ingredient in traditional medicines.

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The stockpiles burnt on Monday Mozambique has the potential to make included 65 pieces of rhino horn that progress against poaching with more were discovered in the Tchumene support for a new environmental police (Matola) home of a Chinese national force as well as efforts to prosecute earlier this year (12 May) in the suspected poachers, said Alastair country’s largest recorded seizure. Nelson, head of the WCS.

Mozambique’s rhino population has Source: AFP/Independent Online/Yahoo been virtually wiped out. As a result News/SABC News thereof, more than 80 rhino horns that made up the stockpile are said to have WWF criticizes Mozambique for come from South Africa and 618 burning “vital evidence” elephant tusks are allegedly from different parts of Mozambique. Mozambique became the latest country to destroy a stockpile of elephant ivory “More of the rhino horns are from the on Monday (6 July) when it burned over Kruger National Park, but the elephant 2.4 tons – as well as 86 pieces of rhino tusks are mainly from here. It shows horn – during a public event in Maputo. how serious the issue of rhino poaching really is”, says Correia. The incinerated products are believed to have included ivory and rhino horns that Destroying such stockpiles is more than were seized in a record bust in Matola in symbolic. May. The seizure of 65 rhino horns was the largest since the current rhino- A global ban on the trade in ivory and poaching crisis began in 2008 – rhino horn could eventually be lifted. although 12 of them were subsequently stolen from a police warehouse. At least However, countries that destroy their seven suspects, four of them police stocks - instead of saving them to sell if officers, were arrested in connection trade is eventually legalised - are with the theft. signalling their opposition to such a move. And this is why concerns are being raised. While the destruction of ivory In the last three months the Republic of and rhino horn sends a signal that the Congo, China, the United Arab Emirates government is committed to tackling and the United States have publicly wildlife crime, vital evidence might well destroyed ivory stocks. have gone up in smoke.

Until now, Maputo has been relatively “WWF is concerned about slow in taking up the fight against Mozambique’s sudden decision to poaching. Following international destroy this sizeable haul of ivory and pressure in June (2014), Mozambique rhino horns because it is likely that adopted a new biodiversity law critical evidence has been destroyed, criminalising the killing of protected particularly from the record seizure in animals. Matola, which could have been used to prosecute criminals and break up wildlife trafficking networks”, said

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Elisabeth McLellan, WWF Head, Wildlife Furthermore, the impact of public wildlife Crime Initiative. product destruction events on end-user markets is unknown and could even It is unclear whether DNA samples have detrimental impacts by highlighting following CITES protocols were taken the scarcity of the commodities being from the remaining rhino horns before destroyed, increasing the demand for they were destroyed, although an such products and driving prices independent audit of the burned upwards. materials is understood to have taken place. “Public destruction of wildlife products seized from illegal trade may capture CITES Decision 16.84 directs all Parties the media limelight but it is certainly not to submit rhino horn samples from going to solve the global poaching specimens subject to criminal crisis”, said Milliken. “Applauding the investigation to designated accredited destruction of court evidence and forensic laboratories for DNA analysis, foreclosing on any prospect of while CITES Decision 16.83 directs all effectively prosecuting those arrested in Parties to do the same thing for any this landmark seizure is simply seizure of ivory of 500 kilograms or unconscionable”. more. Mozambique’s decision to destroy these Cases against those arrested in stocks follows recent positive association with the seizure of the 65 statements by the president about the horns and the subsequent theft of 12 of urgent need to end wildlife crime. them are still awaiting completion, with However, the authorities must now the primary suspect in the original focus on other critical actions, including seizure reported to have absconded. additional anti-poaching efforts, strengthening the judicial process, and “The apparent destruction of evidence in enhancing local stewardship of natural ongoing cases raises obvious concerns resource, and addressing corruption. over how the legal process will now be properly followed in Mozambique”, said “The root causes that permit wildlife Tom Milliken, TRAFFIC’s rhino and trafficking to take place need to be elephant expert. “In fact, Mozambique’s addressed, including the corruption that recent mega-seizure of rhino horns and undermines law enforcement efforts”, elephant ivory has basically unfolded as said Milliken. “Without the evidence how a textbook case of legal can there even be a day in court?” unprofessionalism”. In the meantime, the British High While the destruction of ivory and rhino Commissioner, Joanna Kuenssberg, horn will certainly prevent its “leakage” expressed her satisfaction with the into illegal trade, robust ivory and rhino measures taken by the Mozambican horn stock management systems would government with regards to the appear to provide a more viable long- incineration. term solution. “We welcome the decision of the Mozambican government to join the

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voice of Mozambique, concerning the population had crashed from 2,000 in growing global consensus that the future 2008 to about 400 in January, 2015. of elephants and rhinos is incompatible Recently, 114 elephant carcasses were with the trade of horns and ivory. Strong discovered at Taratibu inside the park. messages such as this is what is needed to show zero tolerance to illegal Protection rackets: trade in wildlife products”, he said. I witnessed this reality on the ground in Source: wwf.panda.org/Canal de Niassa National Reserve in October Moçambique 2014, driving almost 400 kilometres each day, going for hours without a Will the Maputo ivory burn make any glimpse of tarmac, sometimes with the difference? fear of becoming lunch or dinner for wildlife, or the target of poachers or Millions of dollars’ worth of ivory is being corrupt authorities. trafficked out of northern Mozambique, where elephant poaching statistics I also covered Quirimbas National Park, surpass even those announced by where the scenario was not much environmental organisations. different. Speaking to rangers in both parks, it was clear they felt undermined Aided by official complicity, by a legal system which enables Mozambican, Tanzanian and Somali poachers to be released and fails to poachers slaughter the elephants with punish the criminal syndicates backed high-calibre weapons and smuggle the by Mozambican officials involved in the ivory through Mozambican ports, illicit trade. airports and borders, destined mainly for China and Vietnam. At the Mecula Police Station in Niassa, I spoke to elephant poaching suspects, In 2014 the WCS warned that between António Bernardo and Paulo Nhenge. 1,500 and 1,800 elephants are being slaughtered annually in Mozambique, Bernardo, also linked to rhino horn stating that: “elephant poaching has smuggling from South Africa’s KNP, had been industrialised” along the northern been arrested by Niassa rangers in borders of the country. possession of AK-47 rifles.

According to Cornelio Miguel, Nhenge was arrested in possession of administrator of the Niassa National firearms, but claimed he only killed Reserve, an average of five elephants elephants on orders from a local military are being slaughtered each day. As a commander. result, the population of elephants in Niassa reduced dramatically from The two suspects appeared serene, as 20,374 to less than 13,000 between if they were biding their time while 2009 and 2013. waiting for the day of their release. This did not take long, because a week later In the Quirimbas National Park in Cabo they “escaped” while being transferred Delgado Province, administrator Baldeu from the police holding cells to prison. Chande estimates that the elephant

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Bernardo was recaptured on 23 In , home to the January, 2015. He told people in Niassa Quirimbas National Park, there was a National Reserve that he had paid a similar situation of high-ranking officials bribe of US$16,129 to the Mecula being involved and the legal system prosecutor and the police chief of facilitating the release of people operations to release him and Nhenge, involved in poaching syndicates with the who is still on the run. “silence of the Mozambican general attorney”. Before their escape, I asked the Mecula police commander, Alberto Manuel No investigation was conducted into the Imede, about the alleged involvement of role played by prominent figures in the the local civil police, border patrol, and ruling Frelimo government, such as the legal and judicial systems in supporting chief secretary of Muaja village, Horaio poaching syndicates and the illicit trade. Radio.

He avoided answering directly, and Dora Manuel Manjate, the former Cabo instead ran into a police cell where Delgado provincial police commander, poaching suspects were locked up, to was implicated in facilitating the show the commitment of his smuggling of ivory, illegal timber and department. rubies by Chinese company Mofid. Instead, she was transferred, after “They are not released, we have no receiving a bonus from the government, corruption”, he said, pointing out several and today she is the Inhambane poachers being detained, who were due province police commander. to be transferred to the court in nearby Marupa. A 15-page document put together by Cabo Delgado police officials Later Imede laid the blame for the complained about Manjate’s behaviour, escape of Bernardo and Nhenge on the with allegations against her ranging from local prosecuting authority. tribalism to nepotism and defending the police commander of the FIR in But Mecula prosecutor, Danilo Tiago, , Jaime Biza, against refuted this, stating that: “It seems to accusations of his involvement in the have been planned. I spoke with illegal ruby business. Bernardo after he was recaptured and he told me that he did not escape. We Biza was also found to be driving a car are still investigating about the money”. involved in an accident that caused the deaths of two civilians. This case was Tiago would not say if the police chief archived by Manjete in order to protect had received the bribe, and said that he Biza, according to the document. was surprised to hear that Benardo mentioned his own name in connection In September 2014, the document was with the US$16,129 bribe. sent to the then governor of Cabo Delgado, Jorge Khalau; general police Official complicity: commander, Abdul Razak; and to the interior minister and the state security intelligence service director.

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These leaders remained silent, choosing elephants were slaughtered by the not to respond to questions from the poachers in less than 24-hours. media, and no investigation was conducted into the allegations by either Villagers alerted us to the slaughter, and the Mozambican general attorney or at told us that the poachers were former police level. “freedom fighters” from a village called Mbongo where apparently there are Mozambique has signed several many illegal firearms. regional and international conventions, agreements and protocols prohibiting It was approximately 19:00hrs when we illegal timber and wildlife trafficking. In left our temporary base on a motorbike addition, the country’s penal code to follow community members rushing provides for imprisonment of eight to 12 by foot and bicycle, armed with years for the illegal possession of machetes and small knives, anything firearms or ammunition. that could cut a piece of meat.

These laws exist on paper and yet the In the bush where the poached authorities are still releasing people elephants lay, people were chatting, involved in poaching activities, based on screaming, laughing while they divided bribes. Some of the instances are up the fresh meat. In less than a minute exposed in reports of the Mozambican the elephant bull was gone. On the criminal investigation police, as well as ground only skeletons remained. in reports from provincial attorneys and courts. Before, poachers used to go poaching in a group of four to six people, but today All this happens before the eyes of the they are composed of 12 to 15 people. tribunals and prosecuting attorneys who, instead of keeping the offenders in jail, In early December 2014, 12 “guerrilla” allow them to return to their poaching poachers armed with AK-47s and activities – often even more organised wearing military uniforms held an than before. elephant raid over the course of two weeks, starting from tobacco plantations Death squads for elephants: along the Montepuez River bank, even terrorising community members in In Muaja village in Ancuabe district, for Muaja village. instance, some of the poachers involved in a massive poaching operation had One of the poachers was Mussa been detained and released by the legal Namparavara, who had recently been and judiciary system on more than three arrested and detained in police cells occasions. before being released.

As a result the poachers were able to The Ancuabe police and state security partake in a death squad for elephants intelligence service pursued the inside Quirimbas National Park, poachers, but they managed to escape approximately three kilometres from in to the tobacco farms. where we were reporting. Five Up in smoke:

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On Monday (6 July) the Mozambican elephant carcasses”, though other authorities incinerated nearly two tons of factors have contributed to the increase, elephant tusks and rhino horns in conservationist Colleen Begg of the Maputo. The incineration included 340 Niassa Carnivore Project said. Those elephant tusks and 65 rhino horns factors include the recovery of other seized on 12 May in the southern city of species that serve as lion prey as well Matola, where police raided a house as education campaigns that seek to after a tip-off and arrested two Chinese persuade villagers living in the vast park citizens in connection with the haul. in northern Mozambique not to kill lions.

Minister of Land, Environment and Rural The increase in the number of lions in Development, Celso Correia, set the pile Niassa contrasts with declines in lion alight and said that the purpose of the populations elsewhere in Africa. Lions incineration was to discourage are categorised as vulnerable on an poaching. international “red list” of species facing threats. ”With this act, we intend to show the world that our country repudiates Poachers have killed several tens of poaching and the illegal killing of thousands of elephants annually in animals to extract horns and ivory”, recent years to meet rising demand for Correia said. “We’ve had enough of the ivory, particularly in China. crime of poaching – that’s the strong position of the government”. A link between the Niassa lion increase and elephant poaching “is hard to prove In the northern part of the country, as there are so many variables, but we where the elephant population has been are happy with saying it is related”, reduced by at least 50% since 2009, the Begg wrote. “How could it not have government needs to focus on stamping benefited the lions, hyenas and out the corruption and official collusion vultures?” that is helping the poachers. Surveys put the number of lions in Source: Estacios Valoi/Oxpeckers Centre Niassa at between 950 and nearly 1,200 for Investigative Environmental Journalism in 2012, while there were between about 580 and 810 in 2005, according to Lions benefit from elephant poaching Begg. Another count will be conducted in Mozambique park this year (2015).

The lion population has increased in a In May, conservationists said the major wildlife park in Mozambique, number of elephants in Mozambique partly because heavy poaching of had dropped nearly 50% to about elephants has provided the carnivores 10,300 in the last five years because of with a bounty of carcasses to eat as well poaching. Many of those elephants were as vulnerable elephant calves to hunt, a killed in the Niassa park. conservationist said Thursday (9 July). Source: The Associated Press The surge in lion numbers in the Niassa National Reserve is “in part due to

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Mozambican national sentenced to “I am sure that if Ngovene had not been five years for intent to poach arrested that night, HiP would have been short of at least one rhino”, said On Monday (6 July) Mozambican De Klerk. Despite the short prison national, Carmona Armando Ngovene, sentence, EKZNW Rhino Operations received a five-year jail sentence for Unit manager, Lawrence Munro, trespassing in Hluhluwe-iMfolozi Park considered the conviction a success and (HiP), in KwaZulu-Natal (South Africa), said that it was the result of a concerted in 2014. effort between EKZNW Hluhluwe rangers and Rhino Operations Unit Reacting to a police crime intelligence working together with the South African tip-off, Ezemvelo KZN Wildlife (EKZNW) Police Service. rangers, with the EKZNW Rhino Operations Unit, were deployed inside “We are grateful for the assistance HiP and placed themselves strategically rendered by the Mtubatuba Regional according to the police information. Court for the outcome of this case”, said Munro. At approximately 20:30hrs, three suspects entered the reserve, near the Source: Caxton News Service/The Citizen Memorial Gate. Rangers confronted the suspects and, after firing a warning shot, Civic organisations warn of risks to arrested Ngovene, who was carrying a forest reserve in northern .375 heavy calibre rifle with a silencer. Mozambique

The other two suspects managed to The high rate of population growth and evade arrest. The police searched weak supervision by government Ngovene, and found a bag containing officials are threatening the Mecubúri an axe, knives, screwdrivers, dustbin forest reserve (Nampula Province), a bags and other poaching-related group of local civic organisations implements. Ngovene was charged with warned on Thursday (9 July). the illegal possession of a .375 rifle, the illegal possession of .375 rifle cartridges According to a study entitled ‘Situational and trespassing on land on which game survey of mining in the Mecubúri forest is likely to be found. reserve’, presented on Thursday in the city of Nampula by the Provincial Pleading not guilty throughout the trial, Platform of Civil Society Organizations Ngovene denied being in possession of in Nampula (PPOSCN), the forest the weapon and said that the other two reserve functions as a “green lung” for suspects had forced him through the the whole province, but is under severe park’s fence and that he “did not know threat from both mining and illegal where he was”. Convicting Ngovene on logging. all counts, Judge Malcolm de Klerk said that the evidence against him was According to António Lagres, vice overwhelming and he was caught red- president of PPOSCN, the situation is handed. critical and the risks are obvious: “by 2020, if we take no action, the reserve will be almost completely destroyed”.

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Established as a focus for the national institutions do not communicate conservation of ecosystems, the in a systematic and timely manner, Mecubúri reserve is constantly being giving rise to the poor quality of invaded by illegal loggers who cut down information. trees indiscriminately. According to Lagres, six exploration and mining To safeguard the Mecuburi forest research licenses, all granted since reserve, the PPOSCN recommends that 2010, are being exercised in the the mining licenses be revoked, the Mecuburi reserve, in concessions protected area resized, and local and ranging from 7,000 to 59,000 hectares. provincial agencies be strengthened. Founded during the colonial era, The civil society leader considers these Mecubúri is one of the country’s largest licences to be illegal because Mecubúri reserves, and, even before the threat in its entirety is categorised as a from illegal logging, had already seen a conservation area. dramatic reduction in its wildlife population. An added factor in the increasing vulnerability of the reserve, the study Source: Lusa alleges, is that local, provincial and

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Famine threatens thousands of survives on selling fish, cattle, salt families in Sofala extract, goats and chickens.

Famine is a prevailing threat to more Source: O País than 5,000 poor families in the (Sofala Province). Mozambique to block unregistered The current food shortage is due to the SIM cards and fine non-compliant irregular rain fall in the area, which mobile operators directly affected the results of the locality’s 2014/15 agricultural season. As soon as a decree approved on Tuesday (7 July) by the Cabinet comes The Director of District Services of into force, mobile telephone users who Economic Activities, Fernando fail to register their cards will find their Chimbuia, said that the population services blocked.

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The decree approving the Regulation on registration of mobile phone cards, Registration of Subscriber Identification come at a time of frequent kidnapping Modules was finalised during the 22nd cases, the ransom demands of which Ordinary Session of the Council of are often communicated to the families Ministers which, in addition to the of victims via mobile phones using blocking of calls from unregistered numbers which are not registered on mobile phone numbers, regulates fines operators’ databases. for mobile phone companies who fail to abide by the government’s guidelines. The Cabinet session also considered information provided to parliament Cabinet spokesperson and deputy concerning the recent floods and the minister of health, Mouzinho Saíde, said response to them, the current crime that the three mobile providers, mCel, situation in the country and the Vodacom and Movitel, risk being fined expansion of electricity delivery. MT6 million if they do not reach 100,000 registered subscribers. The fines drop to The council also considered the Action MT4 million if companies accept and Prevention Plan for Natural irregular registrations and MT3 million if Disasters, a document with a five-year it is found that omissions in the process implementation period and annual hinder the identification of users. contingency plans. Operators will be fined MT2 million if nd they do not allow the government to The 22 session also ratified the loan monitor the process. agreement reached on 9 June 2015 between the government and the Arab Asked when the regulations would come Bank for Economic Development in into force, the spokesman said that this Africa to the amount of US$12.6 million would happen as soon as the decree is for the construction of an Agricultural published in the Government Gazette Polytechnic Institute project in Nampula (‘Boletim da Republica’), which will be Province. shortly. Source: Notícias The basic objective of the regulation is, according to the government, “the Guebuza’s mother dies at the age of creation of a public and integrated 103 telecommunications numbering Marta Andre Bocota, the mother of database containing all numeric former president Armando Guebuza, telephone information as well as died on Friday night (3 July), at the age associated information to the respective of 103. subscribers, in order to serve as a source of information for operators and “Grandma Marta”, as she was providers of telecommunications public affectionately known, died in the Maputo service and for the competent Central Hospital from what medical authorities, thus promoting the sources described as “respiratory responsible use of the SIM card”. complications”. The regulations, which establish stronger penalties for the non-

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She was born on 11 September 1911, at person, since he was in the northern Chonguene, in the southern province of province of Niassa at the time. He sent Gaza. She married a nurse, Miguel a government delegation, headed by Guebuza, and moved with him to Agriculture Minister José Pacheco, to Morrupula, in the northern province of comfort the Guebuza family and pay Nampula, where the future president tribute to Grandma Marta. was born. She had eight children (five of whom predeceased her), 29 Even Renamo and its leader, Afonso grandchildren and 45 great- Dhlakama, despite their bitter conflict grandchildren. with the former president, sent a message of condolences. She lived through both world wars, saw the peak of Portuguese colonial rule in Grandma Marta’s funeral was scheduled Mozambique, and witnessed her son for Monday morning (6 July) at the become a minister in the newly Presbyterian Church in the Maputo independent republic in 1975, and neighbourhood of Chamanculo. eventually president in 2005. Source: Agencia de Informacao de Guebuza’s successor, President Filipe Moçambique Nyusi, could not offer his condolences in

END

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