Mozambique Poverty Assessment: Strong But Not Broadly Shared Growth

Mozambique has experienced strong and sustained economic growth in the last two decades. Growth of its Gross Domestic Product (GDP) expanded at an annual average rate of 7.2 percent between 2000 and 2016, making it one of the fastest-growing countries in Sub-Saharan Africa (SSA). The economic expansion has boosted incomes and living standards. GDP per capita, for instance, grew annually on average by 4 percent over the same period, climbing from 561 US dollars to 1,128 US dollars (2011 PPP). Growth has been supported by a rebounding agricultural sector, particularly in the first phase of the post-war period, increased productivity in trade, transport and communications and financial services, sound macroeconomic management, large-scale foreign investments projects and significant donor support. More recently, however, growth has slowed down due mainly to macroeconomic factors and severe natural disasters.