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The Economy

Mozambique's economy is primarily based on agriculture, which employs around 80% of its population. Despite this, it only contributes around 25% of GDP, reflecting inefficiencies, lack of economies of scale, and low value-added processing. The country is also rich in natural resources, including coal, natural gas, and hydropower, and has been experiencing rapid economic growth in recent years. Although Mozambique has a GDP per capita of about $400, it is regarded as one of the world's poorest nations. In recent years, the nation has suffered with high levels of corruption and political unpredictability, which has slowed economic progress.

Mozambique also owes a lot of money to foreign creditors, which has caused economic problems and a devaluation of the national currency. To increase economic growth and lower poverty however, the nation is actively attempting to enact economic reforms and draw in international investment.


The Legal Business Structure

The Mozambican Commercial Code (CCM), which was recently revised by Decree-Law 1/2018 of May 4, is the body of law that governs the incorporation of a company in Mozambique. It was adopted by Decree-Law 2/2005 of December 27.

Partnerships, Limited Partnerships, and Partnerships by Shares are the three types of unlimited liability companies. There are also three categories of limited liability companies (capital and industry companies, private limited liability companies and public limited liability companies). However, the most common and widely used business structures among investors are private limited liability companies and public limited liability companies.

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