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The article discusses some of the economic effects of war in northern Mozambique. It indicates how the historical and structural features of the economy of northern Mozambique restricted post-war reconstruction and post-war poverty alleviation. These features include the dominance of only a few cash crops for export, the absence of much rural trading, poor communication infrastructure, and weak political and state institutions. The specific nature of the internal war further weakened the state through the collapse of tax revenue and export earnings and the massive growth of debt and aid, of which little reached rural northern Mozambique. The article also summarizes key aspects of the geography, climate, markets, and social institutions of northern Mozambique, which define the potential production opportunities for peasant households. Finally, the article suggests how post-war reconstruction could have been more effective in achieving faster post-war poverty alleviation in northern Mozambique.