Mozambique’s economic freedom score is 58.6, making its economy the 109th freest in the 2011 Index. Its score is 0.8 point better than last year, with improvements in trade, monetary, and business freedom offset to some extent by a drop in investment freedom. Mozambique is ranked 16th out of 46 countries in the Sub-Saharan Africa region, and its overall score is below the world average but above the regional average.
Distribution of Global Economic Freedom
Although progress has been very gradual, Mozambique has implemented reforms in trade and public finance management. Private-sector involvement in the economy is substantial, but privatization of state-owned enterprises has slowed. Foreign capital and domestic capital are treated similarly in most cases, and trade liberalization has progressed despite non-tariff barriers.
Distribution of Global Economic Freedom
free | mostly free | moderately free | mostly unfree | repressed | not ranked |
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| (adapted from WST/The Heritage Foundation) |
Other institutional problems continue to retard overall economic freedom and long-term economic development. Judicial enforcement is subject to corruption and political influence. The inefficient regulatory environment, despite some progress in recent years, remains a burden on business formation and operation. A dynamic labor market has not been fully developed.
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