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Mozambique’s Megaproject-Based Economic Model: Still Struggling with Uneven Development?

In: Value Chains in Sub-Saharan Africa

Author

Listed:
  • Eduardo Bidaurratzaga Aurre

    (University of the Basque Country)

  • Artur Colom Jaén

    (University of Valencia)

Abstract

Megaprojects in aluminium production, coal and natural gas extraction, and hydropower generation play a key role in the Mozambican economy. Based on the concepts of global value chains and linkages, this chapter shows that remarkable transformations are taking place in these sectors, including the expansion of production, the attraction of FDI and the emergence of new players from the Global South who now compete with transnational companies from traditional economic partner countries of Mozambique. The authors highlight potentials (in terms of economic transformation, especially positive side effects through the provision of electricity and rehabilitation of transport infrastructure) as well as drawbacks and limits to Mozambique’s megaprojects. The latter go beyond the low participation of domestic small and medium enterprises, comprising as well a variety of economic, political and social challenges. The chapter concludes with recommendations for improving the megaproject-based economic model.

Suggested Citation

  • Eduardo Bidaurratzaga Aurre & Artur Colom Jaén, 2019. "Mozambique’s Megaproject-Based Economic Model: Still Struggling with Uneven Development?," Advances in African Economic, Social and Political Development, in: Sören Scholvin & Anthony Black & Javier Revilla Diez & Ivan Turok (ed.), Value Chains in Sub-Saharan Africa, pages 95-113, Springer.
    • Handle: RePEc:spr:aaechp:978-3-030-06206-4_7
    DOI: 10.1007/978-3-030-06206-4_7
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    Cited by:

    1. Sören Scholvin, 2023. "Green hydrogen and linkage-based development in Antofagasta, Chile," Local Economy, London South Bank University, vol. 38(5), pages 506-517, August.
    2. Scholvin, Sören, 2021. "Prospects and pitfalls of Namibia's oil and gas sector," Resources Policy, Elsevier, vol. 70(C).

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