National Indicative Programme (NIP) for Mozambique

The 11th EDF National Indicative Programme (NIP) for Mozambique for the period 2014-2020, which amounts to € 734 million, was signed in November 2015 with the national authorities. The main objectives of the NIP 2014-2020, in line with the Government of Mozambique’s priorities, are:

i) to promote the deepening of the democratic system, transparency, accountability and the rule of law and prepare public institutions to manage, allocate and spend future revenues,

ii) to reinforce poverty alleviation through sustainable and inclusive growth, income redistribution, and the promotion of social stability and

iii) to promote a conducive business environment to thrive and contribute to growth and inclusive economic development.

Two areas have been selected for future support from 2014-2020:

1) Good governance and development (€367 million), providing overall support to the national public policy and its priorities, through a ‘Good Governance and Development Contract ‘(General Budget Support instrument) as well as complementary actions.

EU support in this area will aim at capacity strengthening core government systems, control mechanisms, domestic accountability and macroeconomic management. It will also promote a conducive environment to support political and economic governance.

2) Rural development (€325 million), adopting a two-pronged approach to the support of inclusive growth and poverty reduction in rural areas. EU interventions will help, on one hand, to improve food security and nutrition, through production improvement, access to food and to markets through appropriate transport infrastructure, further to nutrition-specific interventions. On the other hand, the EU support will aim at enhancing rural competitiveness by fostering the conditions for sustainable growth of micro, small and medium-sized enterprises in rural areas. Improvement in the physical access to markets and energy will form an essential component of the support.