prices of goods and services rise 20% in the start of 2017

Cost of living

The cost of living in the country remains high, although it is registering a relative reduction in relation to the last months of last year. Data released by the National Statistics Institute (INE) indicate that the general price level (inflation) increased by 20.56% in January this year when compared to January 2016 (year-on-year inflation). This is a reduction of 3.11 percentage points (pp) compared to the same period last year, ie the price increase in December 2016 when compared to the December 2015 price increase.
The data refer to the behavior of prices in the three largest cities in the country, namely Maputo, Beira and Nampula, also known as the Consumer Price Index (CPI) in Mozambique and show that in monthly terms, that is, inflation in January compared to December, there was an increase of 2.15%, a deceleration of 0.39pp compared to a rise of 2.54% in December compared to November 2016.
According to the INE's newsletter, from the point of view of annual inflation, the price increases of the clothing and footwear divisions with 30.65% and food and non-alcoholic beverages with 29.95% had significant weight.
On a monthly basis, ie January inflation compared to December, there was a rise of 2.15%, a deceleration of 0.39pp compared to a rise of 2.54% in December compared to November 2016. Between December 2016 and January 2017, food and non-alcoholic beverages are again among the products whose prices increased the most with a contribution of 1.39pp.
Considering the increase in prices per product, the increase in prices of tomato (20.0%), coal (13.1%), coconut (17.6%), peanut (12.9%) , Horse mackerel (4.6%), and butter beans (7.8%). These products were responsible for about 0.97pp positive
Total monthly inflation.
INE also noted that the city of Beira registered the highest monthly inflation (2.97%), followed by Nampula with 2.92% and Maputo, with 1.46%. In year-on-year terms, the trend was similar: the city of Beira was the one that had the greatest worsening of the general price level with 24.20%. Nampula and Maputo registered price increases of 22.97% and 18.13%, respectively.
Last year was characterized by a historic price hike in the country, which significantly reduced the purchasing power of households and businesses. Inflation closed the year with an average of 19.85%, one of the highest in recent years. The cause was linked to the deterioration of almost all the macroeconomic indicators, mainly the depreciation of the metical against the US dollar and the rand of South Africa. One dollar saw a jump of 30 meticais to more than 80 meticais in a period of approximately one year, which significantly increased imports, in a scenario of deep domestic production deficit and consequent high import dependence.
For this year, the Central Bank establishes an inflation target in the order of 14%, well below the levels that occurred last year.

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Mozambique and China strengthen cooperation in parliamentary area

Veronica Macamo will hold a meeting with the chair of the Chinese People's Consultative Conference.

Parliamentary delegations from Mozambique and China will hold bilateral talks tomorrow on the current stage of cooperation between the two countries.
The talks are part of
an official visit by a team of Mozambican parliamentarians since yesterday to the People's Republic of China.
During the talks, the two parliaments could initiate a memorandum of understanding with a focus, inter alia, on organizing regular meetings between parliamentarians from both parliaments and exchanging experiences on matters of common interest.
Veronica Macamo will hold a meeting today with the chairman of the Chinese People's Consultative Conference, Yu Zhengsheng, according to a note from the parliamentary press, ahead of the bilateral talks.
The Mozambican delegation is led by the President of the

Assembly of the Republic, Verónica Macamo, and includes the deputy head of the Frelimo bench, Sérgio Pantie; The heads of Renamo's benches, Ivone Soares; And MDM, Luther Simango; In addition to the rapporteur of the Commission for International Relations, Cooperation and Communities, António Niquice.

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Gaza and Inhambane could be affected by heavy rains within three days

The tropical depression that will be felt within 72 hours, in the provinces of Gaza and Inhambane, will be characterized by heavy rainfall and may cause flooding.
The National Meteorological Institute also warned that the phenomenon could affect the province of Maputo, as of Friday, and the rains could have the intensity of 75 ml in 24 hours.
In view of this situation, the National Institute for Disaster Management (INGC) will activate all Local Risk Management Committees in order to alert the population to take precautions and provide assistance if necessary.
The tropical depression that will be felt in the country is similar to the climatic phenomenon named Dando, which affected the provinces of Gaza, Inhambane and neighboring South Africa in 2012, leading the Limpopo to overflow

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LAM opens Gaza airline ticket office

Agreement between LAM and the Mozambican Post Office
It is now possible to buy air tickets from the Mozambique Airlines (LAM) from Gaza province, with the opening of a sales unit in Xai-xai city yesterday. This is an old idea, which today is materialised through a partnership with Correios de Moçambique, whose focus is to cover several other points in the country. The ticket sales unit was inaugurated by Gaza's Gov. Stella Zeca.
The agreement that symbolised the partnership was initialed yesterday in Xai-Xai City between the representatives of the two companies, namely the Chairman of the Executive Committee (PCE) of LAM, António Pinto, and the Chairman of the Board of Directors (PCA) of the Correios de Moçambique, Valdemar Jessen.
In light of the agreement, the Mozambican Post will facilitate the sale of air tickets from the city of Xai-xai, capital of the province of Gaza, one of several points in the country where access to an airplane ticket required a trip to Maputo , Further increasing travel costs.
"We are certain that conditions are now in place for residents of Gaza province to purchase tickets at Xai-xai, going to Maputo just to make the flight and not to buy the ticket, return to Gaza and return to Maputo to do the Travel, "said LAM's PCE, while the PCA of the Correios de Moçambique assured its institution's commitment to guarantee a" work of excellence "in this area.
For the Governor of Gaza, the offer of LAM services is an important factor for the tourist attraction for the province, although an airport is not yet installed.
"With this store, it will be very easy to make our tourist and economic potential much more valued. But we know that LAM is directly or indirectly linked to airports, and an airport is still a great dream for us and we believe that what happened today indirectly reinforces our hope of having an airport here in Gaza.
The partnership between LAM and Correios de Moçambique is an initiative that seeks to cover all points in the country where it is not possible to purchase products and services from the national air carrier. Already in the coming weeks, more units like this will be opened in the Center and North.

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President of the Republic will inform Daviz Simango on developments in political dialogue

The Head of State and the leader of the MDM held today a meeting in the Presidency of the Republic, where the focus of the discussions was peace.
And because the president of the MDM understands that the political dialogue should not only involve the Government and Renamo, Filipe Nyusi and Daviz Simango agreed that the MDM leader will be informed of the developments of the talks on a regular basis.

The president of the MDM said last week that the new model of political dialogue was not going to produce results because, in his view, it diverted away from the essential points that can bring peace to the Mozambicans.

Death of Dom Jaime has shocked the country – Afonso Dhlakama

The news of the death of Archbishop Emeritus of Beira Dom Jaime Gonçalves has reached Renamo leader Afonso Dhlakama, who in a telephone conversation had this to say to ‘O País’.

“The events (of early Wednesday April 6) come as a shock to Mozambicans, because beyond his religious work for the Catholic church, Bishop Jaime fought for peace and democracy,” said Dhlakama who, at every pause in the conversation would mention that Dom Jaime had been a great brother.

“I would like to recall that Dom Jaime was in Rome for two-and-a-half years representing the Catholic church as a mediator. He succeeded, through distinct ways, in talks with Frelimo and with Renamo. Indeed, it was he who brought to Marínguè the message from the Vatican in April 1988. On that occasion he landed by plane and met to tell me that he wanted to negotiate, when President Chissano was afraid that Renamo would attack in Maputo. I told him to reassure the president because our intention was to negotiate.”
The Renamo leader’s memories did not stop there. Going back further in time, Afonso Dhlakama recalled an episode when he was still a member of Frelimo.

“I remember when Dom Jaime returned from Rome in the 70s, he celebrated Mass in Beira. I was there. At the time, I was still a comrade in Frelimo. In that context – Samora Machel was president – Dom Jaime argued that we should not accept communism.”

“Dom Jaime will be remembered as a man who fought for democracy, even before Renamo,” Dhlakama said, expressing his condolences to the Catholic Church and Dom Jaime’s family, and saying that he regretted not being able to attend the funeral for security reasons.

Source: O País

Zambezia Governor advocates national unity

The governor of Zambezia province, Abdul Razak, made a Mozambican Heroes Day speech extolling unity during which he held the hand of the mayor of Quelimane, Manuel de Araújo, and said "We are all brothers".

"I am governor and Manuel de Araújo is mayor; I am of Indian extraction and he is black. I was born in Maputo and he in Zambezia; I am Muslim and he is Catholic and I am FRELIMO and he is MDM but we are all Mozambican brothers," Razak declared at a Mozambican Heroes rally.

The governor’s national unity speech has been widely shared on social networks.


Source: Folha de Maputo

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