More information about Mozambique is available on the Mozambique Page and from other Department of State publications and other sources listed at the end of this fact sheet.
U.S.-MOZAMBIQUE RELATIONS
Relations between the United States and Mozambique are strong and improving, as we increase our bilateral cooperation and assistance on issues ranging from countering violent extremism to pandemic response, in close alignment with the Mozambican government’s development priorities. Mozambique’s independence from Portugal in 1975 was followed by years of civil conflict that concluded in 1992. Historical grievances resurfaced in periodic flare-ups of violence after 1992, but in 2019 the ruling party and main opposition party signed a new peace accord and began to work together to disarm, demobilize, and reintegrate former armed combatants into peaceful society. The United States supports the implementation of the peace agreement. Since terrorist attacks began to destabilize northern Mozambique in 2017, the United States has provided assistance to hundreds of thousands of internally displaced persons (IDPs) and increased its security cooperation with Mozambique, in addition to working with Mozambican partners to address the drivers of terrorism. The United States and Mozambique share a commitment to security and stability, economic development, improved living standards, and good governance for all Mozambicans.
U.S. Assistance to Mozambique
Mozambique ranks among the least developed countries in the world. The United States is the largest bilateral donor to the country, providing over $560 million in assistance annually. The United States seeks to strengthen democratic institutions, transparency, and inclusive governance in Mozambique, which will in turn improve the country’s investment climate. Healthcare, education, poverty reduction, and job creation remain high priorities, as does food security. U.S. assistance in the health sector and vaccine donations have been instrumental to Mozambique’s response to the COVID-19 pandemic. The United States provides significant health-focused support to Mozambique through programs including the President’s Emergency Plan for AIDS Relief, the President’s Malaria Initiative, and maternal and child health, nutrition, and other interventions. U.S. assistance also supports children’s literacy, improved water and sanitation, agriculture incomes, climate resiliency, disaster response, and counter wildlife trafficking, among many others.
Bilateral Economic Relations
Mozambique offers opportunities for U.S. businesses in a range of sectors, including energy, infrastructure, agriculture, information and communications technology (ICT), and transportation. Mozambique’s economy has returned to economic growth after a downturn in 2020 related to the COVID-19 pandemic, which followed a financial crisis sparked by a $2 billion illegal loan scheme in 2016. Donors responded to that corruption scandal by freezing over $250 million in direct budget support; the International Monetary Fund (IMF) cancelled its financial program. A Mozambican watchdog organization estimated the scandal resulted in nearly two million Mozambicans falling below the poverty line, in addition to weakening government institutions and worsening Mozambique’s international reputation. In 2021, Mozambique brought a number of defendants to trial in the case, in addition to uncovering and investigating other corruption-related cases. The IMF and the Government of Mozambique began negotiations to resume IMF assistance in early 2022.
Substantial foreign direct investment in Mozambique has come from the United States, with the potential for more in the future. Mozambique Leaf Tobacco is the largest U.S. investor in the country, while ExxonMobil is invested in Mozambique’s liquefied natural gas (LNG) sector but has yet to move forward with a final investment decision. Long term, natural gas exploration and LNG production have the potential to significantly boost Mozambique’s GDP, although instability in northern Mozambique has put multiple major international projects on hold. A Bilateral Investment Treaty (BIT) between the United States and Mozambique went into effect in March 2005, and the two countries signed a Trade and Investment Framework Agreement (TIFA) in 2005. In 2019, Mozambique signed a commercial Memorandum of Understanding with the Department of Commerce to facilitate trade and investment in the areas of energy, infrastructure, agriculture, and tourism.
Mozambique’s Membership in International Organizations
Mozambique’s main foreign policy goals are to balance its relations with a variety of international partners and maintain good relations with its neighbors. Mozambique is a member of the African Union and the Southern African Development Community (SADC), as well as belongs to a number of the same international organizations as the United States, including the United Nations, International Monetary Fund, World Bank, and World Trade Organization.
Bilateral Representation
Principal embassy officials are listed in the Department’s Key Officers List.
Mozambique maintains an embassy in the United States at 1525 New Hampshire Avenue, NW, Washington, DC 20036; tel: 202-293-7146; fax: 202-835-0245.
More information about Mozambique is available from the Department of State and other sources, some of which are listed here:
CIA World Factbook Mozambique Page
History of U.S. Relations With Mozambique
Office of the U.S. Trade Representative Country Page
U.S. Census Bureau Foreign Trade Statistics
Export.gov International Offices Page
Millennium Challenge Corporation: Mozambique
Library of Congress Country Studies
Original source can be found here.
