1 STATE SHARES MANAGEMENT AGENCY A REFERENCE PARTNER FOR INVESTMENTS IN MOZAMBIQUE INTRODUCTION 2 More than 36 million ha of land is arable land, making it one of the largest portion of its type in Southern Africa Mozambique is rich in a wide range of mineral resources amongst which coal, hydrocarbons, precious stones, heavy minerals... Total population of Mozambique is more than 20 million people MOZAMBIQUE GEOGRAPHIC LOCATION AND THE SADC COUNTRIES Mozambique geographic characteristics Mozambique is located in southeastern Africa In the eastern side is bordered by the Indian Ocean (Mozambique Channel). To the interior is bordered by the following countries: Tanzania, Malawi, Zimbabwe, Zambia, Swaziland and South Africa The total area of Mozambique is about 800 000 Km2 and has a coastal line of about 2500 Km. Mozambique is a member of the Southern Africa Development Community INTRODUCTION (Macroeconomic Indicators) 3 Indicators Nominal GDP ($US millions) GDP per capita (US$) 2007 8.121 2008 2009 9.943 10.085 2010 2011 2012 9.932 12.678 13.952 394 469 463 443 550 587 8,2 10,3 3,3 12,7 9,5 7,2 Exports (Goods)-$US millions 2.412 2.653 2.147 2.243 2.580 3.026 Imports (Goods)- $US millions 2.811 3.643 3.422 3.240 4.014 3.878 Exchange rate MT/US 25,57 24,17 26,71 32,65 32,90 31,59 Average annual inflation rate (%) Source: QM, MPD/MF Consistent Past growth The growth rate of real GDP of Mozambique was the second highest among the non-oil exporting countries of Sub-Saharan Africa. percentage Real GDP growth rate: 1995-2009 average Non-oil countries average Major investments to continue and accelerate Top 10 investors in Mozambique in 2010 Country Number of projects FDI (US$) Portugal 63 154,147,532 South Africa 48 88,090,405 Italy 5 57,674,508 Belgium 2 51,932,000 China 13 38,570,000 Spain 4 33,503,370 UK 9 29,427,329 Singapore 1 23,751,968 Kenya 1 16,000,000 Switzerland 2 13,307,970 First Quarter FDI already amounts to over US$200M Not include investments in the area of mineral resources and hydrocarbons. Source: Mozambican Investment Promotion Centre MOZAMBIQUE COMPETITIVE ADVANTAGES 6 Fast Growing Economy 7.6% Average GDP growth over the past five years Strategic Location in SADC Offering Infrastructural access to SADC countries (Ports, Railways, Roads and Pipeline) Special zones regime for priority business areas A gateway to the SADC market A wealth of untapped natural resources Vast reserves of land, mineral resources, abundant labor, water and a diverse cultural and historical background Monetary policy Risk coverage service by MIGA and OPIC Expatriation of dividends Consolidating market 22 million inhabitants in a region with 250 million consumers Mozambique IGEPE PROFILE 7 Public Institution Manage State shares VISION To be the reference institution in the promotion and management of State Shares in companies in the framework of national development MISSION Manage State Shares based on good governance principles and promote new public and private investment initiatives MAIN STRATEGIC INVESTMENT ACTION Carryout new investments in strategic sectors where the State presence is essential to foster national development process IGEPE PORTFOLIO 8 CHARACTERIZATION IGEPE’s portfolio includes 130 companies Main areas: Mineral Resources Hidrocarbons Telecommunication Industry Tourism Agro processing Financial sector commerce and construction Food and beverage A sample of few selected major companies Mozal, SA Hidroeletrica de Cahora Bassa, SA Coca-Cola SABCO – Mocambique , SA Cervejas de Mocambique, SA Mozambique Airlines IGEPE PORTFOLIO 9 COMPANIES TURNOVER The turnover of IGEPE’s portfolio is around $US 3 000.000.000.00 (three billion American dollars) AREAS PRESENTING INVESTMENT OPPORTUNITIES 10 Tourism Agriculture Mineral Resources Forestry Real State Agro processing and agribusiness Infrastructure BUSSINESS OPPORTUNITIES 11 TOURISM PROJECTS 3 major Tourism projects Cruisse/Jamali Tourism Resorts at Mozambique Island Northern Mozambique- 1750 ha of bays, coral reefs and Islands Vilanculos/Bazaruto integrated Tourism Resort2500 ha of land and 5.7 Km of coastal area Eco-Tourism Resort- 70 000 ha of land in the Maputo Special Reserve and Zambezia Province BUSSINESS OPPORTUNITIES 12 MINERAL RESOURCES Possibility of partnership for exploration of coal, gold and other minerals. REAL STATE Create high-end residential estates, commercial amenities that usually accompany them and infrastructure to support and incubate the success and sustainability of the development. BUSSINESS OPPORTUNITIES 13 AGRICULTURE Existence of potential arable land for agricultural development, especially for vegetables in the south of Mozambique. AGROPROCESSING 3 existing agro processing plant for: Cotton - 10.000 tons/years Rice - 25.000 tons/years Maize - 25.000 tons/years BUSSINESS OPPORTUNITIES 14 FORESTRY PROJECTS 4 major forestry projects totalizing 292 500 ha of land. INFRASTRUCTURE AND SERVICE logistic project for coal mineral. IGEPE AS AN INVESTMENT PARTNER 15 WHY IGEPE? Reference partner in Public/private partnership Safe business partnership (State goodwill) Interface between the Public and private sector Available assets for own investments and towards different partnerships Interface between the Public and private sector Experience in implementing successfull projects CONTACT IGEPE 16 Website: www.igepe.org.mz Directors Apolinário Panguene: apanguene@igepe.org.mz Chairman Santos Gonzaga Jeque: sgonzaga@igepe.org.mz Custódio Nguetana: cnguetana@igepe.org.mz Tel. + 258 214856413 Fax + 258 48 3641 Diplomatic Missions 17 THANK YOU