APO
Mozambique is experiencing an influx of investment across energy, agriculture, tourism, construction and mining sectors, positioning the country for transformative economic growth.
The benefits of ongoing megaprojects, however, have the potential to extend beyond government revenues and critical infrastructure and to local capacity building and the assurance of sustainable socioeconomic improvement.
In a bid to increase country-wide living standards and boost local participation in expanding sectors, Mozambique is prioritizing the expansion of local content policies and leveraging large-scale developments to capitalize on skills transfer and training initiatives.
In response to large-scale developments taking place across the country, the Government of Mozambique has enacted several local content requirements to ensure that the flow of capital extends to local communities and economies.
Notably, the country is in the process of passing a revised Local Content Law,
which aims to increase local participation through the enforcement of a minimum percentage requirement.
It is to ensure preference is given to local suppliers, encourage technology transfer and require the presentation of a local content plan by enterprises to relevant authorities on an annual basis, among other key provisions.
Additionally, the Local Content Law will be monitored and managed by an independent public entity that will determine certification of companies and specific local content requirements.
The Law aims to significantly increase indigenous participation across sectors, with a view to driving employment and the creation of local industries.
Mozambique already has a series of laws in place that contain local content provisions.
