Investment Climate and FDI Attraction in Mozambique: A Qualitative Exploration

Investment climate in Mozambique has been a subject of interest for policymakers and investors alike, with foreign direct investment (FDI) playing a crucial role in the country's economic development. The research employs a qualitative approach, involving semi-structured interviews with key stakeholders such as government officials, industry experts, and foreign investors. Data was collected through focus group discussions (FGDs) in major investment hubs across Mozambique. Interviews revealed that improved regulatory clarity and streamlined business procedures have significantly enhanced investor confidence, particularly in sectors like tourism and agriculture. Over 70% of respondents cited reduced bureaucratic hurdles as a key factor for increased FDI attraction. The qualitative data supports the notion that enhancing governance and reducing administrative barriers are critical steps towards improving Mozambique's investment climate and attracting more foreign direct investments. Policymakers should prioritise implementing comprehensive business regulations, streamlining bureaucratic processes, and fostering investor-friendly policies to further entice international capital into Mozambique's economy.