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Prepared by the UN Mozambique May 2016 Delivering As One United Nations Development Assistance Framework (UNDAF) 2012-2016 Annua

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Prepared by the UN Mozambique May 2016 Delivering As One United Nations Development Assistance Framework (UNDAF) 2012-2016 Annua Delivering as One United Nations Development Assistance Framework (UNDAF) 2012-2016 Annual Progress Report 2015 Prepared by the UN Mozambique May 2016 TABLE OF CONTENTS 1. INTRODUCTION 3 2. EXECUTIVE SUMMARY 4 3. KEY DEVELOPMENT TRENDS 5 4. RESULS OF THE UNDAF 6 5. UN JOINT PROGRAMMES 10 6. RESULTS OF UN HIV/AIDS JOINT TEAM 12 7. RESULTS OF OPERATING AS ONE 12 8. RESULTS OF COMMUNICATING AS ONE 12 9. FINANCIAL OVERVIEW 13 10. LESSONS LEARNED AND WAY FORWARD 13 ANNEX: PROGRESS AGAINST UNDAF RESULTS MATRIX Photos by: UNICEF and FAO 1 Introduction UNDAF, also called the UN Programme elaborated un- This report presents the progress made towards achiev- der the Government’s leadership, defines UN’s role and ing the UNDAF programmatic targets set for 2015 and are actions to reduce poverty and disparities in Mozambique. elaborated in the key development trends and in more de- The programme supports the national poverty reduction tail under the different UNDAF result areas, namely Eco- strategy, and aims at achieving the Millennium Develop- nomic, Social and Governance. Highlights of the work of ment Goals (MDGs) and most recently the Sustainable different joint programs and the UN working groups are Development Goals (SDGs) and other Internationally described towards the end of the report Agreed Development Goals (IADG). The current UNDAF for Mozambique encompasses all the 22 UN agencies’ interventions in the country for the period 2012-16 which are detailed in the UNDAF and UN- DAF action plan documents signed by the Government of Mozambique. The eight outcomes of the UNDAF in the Economic, Social and Governance areas are implement- ed through the coordinated delivery of 49 outputs, which all involve two or more UN agencies. When designing the One Programme, consideration was given to develop a structure that (i) functions in alignment with the sectoral structure of the Government counterparts, (ii) facilitates at the same time cross-sectoral programming approach- es; (iii) integrates mainstreaming issues such as HIV and AIDS, Culture, Gender and Human rights, Environment, as well as Disaster Risk Reduction; and (iv) maintains the co- ordination and management of programme interventions and programme support functions as light as possible. The current UNDAF was extended to cover the year 2016 in order to align with the government’s new five year plan (Plano Quinquenal do Governo). MOZAMBIQUE AT A GLANCE PROVINCES IN MOZAMBIQUE Population, total (millions) 21.0 Population growth (annual %) 2.1 Surface area (sq. km) (thousands) 799.4 Life expectancy at birth, total (years) 42.5 Mortality rate, infant (per 1,000 live births) 95.6 GNI (current US$) (billions) 6.1 GNI per capita, Atlas method (current US$) 310.0 Prevalence of HIV, total (% of population ages 15-49) 16.2 Mozambique’s economy was devastated by decades of conflict. Its high growth rate over the last decade has been from a very low base, and has been greatly dependent on capital-intensive investment by the private sector, and on the strong South African economy. The government has initiated widespread reforms to alleviate this, particularly in banking, the management of public finance and the collection of customs dues. Agriculture employs 83% of the population and until recently accounted for 80% of exports. Minerals make up an increasing share of exports, and recent investment in Mozambique’s miner- al and gas deposits may increase their contribution to the econ- omy. The Mozambican economy also benefits from the transit of goods to and from the African interior. Investment in infrastruc- ture for the Beira, Nacala and Maputo Corridors, which respec- tively link Zimbabwe, Malawi and South Africa’s Gauteng prov- ince to the Indian Ocean has increased in recent years. *The current UNDAF was extended from 2015 to 2016. Sources: http://mz.one.un.org/eng/Resources/Publications/UN- DAF-2012-2015, http://mz.one.un.org/eng/About-Mozambique, UNESCO. 3 2 Executive Summary Mozambique commemorated 40 years of independence Political tensions between the ruling party and the main and welcomed a new government in 2015. The year opposition party accompanied by sporadic violent clashes also celebrated the country being declared free of land- in the center of the country and the severe floodings that mine. Another major milestone was the endorsement by affected thousands of people in the central regions of the- the Council of Ministers of a national Strategy to Prevent country added to the challenges faced. and Eliminate child Marriage. Some progress towards Good progress however has been made towards attaining achieving the MDG targets was observed and celebrated the programmatic targets set for UNDAF in 2015. Several namely in achieving the targets of MDG1 and MDG4, how- outcome level targets haven been met in addition to the ever challenges to meet many of the other targets still re- results attained at the output level. Year 2016 is the final mained. The steady development was however put at risk year for the extended UNDAF of 2012-2016 and marks a due to the macroeconomic situation marked by increased transition towards the attainment of the Sustainable Devel- public debt levels, budget deficit and sharp depreciation of opment Goals (SDGs) together with the recently complet- the national currency against the dollar. ed UNDAF for the period 2017–2020. 4 3 Key Development Trends In 2015, Mozambique celebrated 40 years of independ- This is a consequence of negative external and internal ence. It was also a year that welcomed a new government factors (weak commodity prices, delays in expected FDIs under President Mr. Philipe Nyusi. During the year we investments decisions, unsustainable government spend- could also observe and celebrate progress towards some ing and increased debt level). As a result of these (not the of the MDGs targets and the country was being declared economic growth as such) there have been a strong cur- free of landmine. This is the first large mine-contaminat- rency depreciation (around 50% in 2015), a severe drop in ed country to be completely cleared of mines with support the level of the central bank reserves and a costlier debt from the UN and international development partners. The servicing that have strained the government liquidity and endorsement by the Council of Ministers of a national Strat- exposed the financial fragility of the country. For the first egy to Prevent and Eliminate child Marriage should be also time in 10 years the Government of Mozambique request- regarded as a major milestone for the country where about ed a financial loan of $286 million from the IMF as bal- 14% of the girls between 20 and 24 years get married be- ance-of-payments support conditional to a reduction of 2% fore 15. With local and global expertise in the area, the of GDP of the government fiscal deficit and a tightened the UN was able to provide high quality integrated policy and monetary policy and capital control in an attempt to con- technical support emanating in the strategy. trast the currency depreciation. However, the macroeconomic situation marked by in- Mozambique’s advancement towards to MDG’s has creased public debt levels, budget deficit and sharp de- been mixed*. Under five child mortality seems to have met preciation of the national currency against the dollar put its targets (MDG 4).The Net Enrolment Rate (MDG 2) re- the gains made at risk. Political tensions between the rul- ported by the Ministry for 2015 is 98,2% being very close ing party and the main opposition party accompanied by to the target of 100% and the goal of halving the proportion sporadic violent clashes in the center of the country added of people suffering from hunger until (MDG 1) has been to the challenges faced. The year also started with flood- reported to been achieved. However, with the household ings affecting 160,000 people including 50,000 people that data from 2015 suggesting a general economic improve- were displaced in the central regions of the country. ment and poverty reduction, large discrepancies between With a 6.3% GDP growth in 2015, the economic growth primarily Maputo and the rest of the country still prevail. for Mozambique continues to be strong and prospects re- In the latest Human Development Index the country re- main positive in the medium terms. However after long mained among the bottom 10. This combined picture and period of robust macro-economic stability, there has been context forms the basis of the UNCT Mozambique agen- a significant deteriorating of the balance account during da for 2016 as we move to continue to strongly support 2015. Mozambique’s policies, plans and actions to achieve the new Sustainable Development Goals. (Source: Secretary General’s letter).*The MDG progress report for 2015 is yet to be finalized in the first half of 2016. 5 4 Results of the UNDAF Under the Economic area a major result at the outcome level for development and international cooperation in 2015 was the declaration of the country being mine-free. This is the first large mine-contaminated country to be completely cleared of mines. Up to today 171,000 mines have been cleared in Mozambique with support from the UN and international development partners with Ottawa convention being an important steering and monitoring mechanism. (Source http://www.apminebanconvention.org/) Outcome 3: Indicator 3: Progress: Sustainable and effective management No. of districts classified as mine- free and available for use of natural resources and disaster risk re- Target met duction benefit all people in Mozambique, particularly the most vulnerable Baseline: 40 districts Target: 128 districts Other significant result in the Economic area was record- From January until the end of March 2015, UN assisted in ed from the UN efforts in the joint emergency response.
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