Context
Around 80 per cent of people in Mozambique depend on agriculture and fisheries for their livelihood. More than half of the rural population has an income below the poverty line.
Mozambique’s economy is dominated by micro, small and medium-sized enterprises (MSMEs) and smallholder farms. It is very difficult for them to harness the potential of aquaculture, fisheries and agriculture, however. This is made harder by low incomes, limited employment opportunities – especially for women and young people – and unfavourable conditions for companies, including a lack of access to financial services, such as loans, and low levels of trade. Yet fertile land, inland waters and the sea offer opportunities for higher profits and good jobs.
Objective
MSMEs and smallholder farms in rural areas and coastal regions increase their competitiveness and growth, which everyone benefits from. More employment and higher incomes reduce poverty.
The project focuses on three areas:
1. Improving incomes
Partnerships with companies and cooperatives increase profits in aquaculture, fisheries and agriculture. The project provides training, develops digital solutions and introduces environmentally friendly practices.
2. Facilitating access to finance
Innovative financial products and financially viable projects make it easier for companies to access financial services. In particular, the project promotes measures that are tailored to the needs of women and young people. Savings products, insurance and access to the official financial system make companies more resilient.
3. Connecting structures
The project improves the economic environment with a view to mainstreaming the measures in the long term. To this end, it offers local support for smallholder farms and MSMEs and develops regional networks and support structures.