CABO Case Study - Sustainable Development Goals Fund · 2019-03-22 · Case Study SDGs addressed More info: This case study is based on lessons from the joint programme, “More and

HARNESSING THE OPPORTUNITIES OF

THE NEW ECONOMY IN MOZAMBIQUE:MORE AND BETTER JOBS IN CABO

DELGADO AND NAMPULA

Case Study

SDGs addressed

More info:www.sdgfund.org

This case study is based on lessons from the joint programme, “Moreand better jobs in Cabo Delgado province and Nampula province- Harnessing the opportunities of the New Economy in Mozambique.”Read More

CHAPTERS

NAMPULA

CABO DELGADO

In Mozambique, the joint programme worked withthe government, local communities and extractiveindustries and mega projects in Cabo Delgado andNampula provinces to help promote inclusiveeconomic growth and opportunities for localcommunities. The joint programme strengthenedthe capacities of local institutions to providevocational training and promoted the uptake oflocal content among multinational enterprises inthe extractive industries, at the same time,contributing to the development of gender-sensitive employment policies and improving thecapacities of small business and linkages to valuechains.

1. SUMMARY

2. SITUATION

The development of extractive industries haslimited impact on economic growth,diversification, creation of decent jobopportunities, better inclusion of women in thelabor market, and social development in CaboDelgado and Nampula. Many Mozambicans stilldepend on subsistence agriculture, artisanal fishingor jobs in low-skilled sectors for their livelihoods.Local people and Micro and Small Enterprises(MSEs) are unable to access opportunities in theextractive industries, which are dominated byMulti-National Enterprises (MNEs).

The programme focused on ensuring deploymentof local content policy, including MNEs localpurchasing of goods and services andenvironmentally friendly business practices in thecase of the extractive industries, as well as gender

mainstreaming and women’s empowerment. Atthe same time, it promoted vocational trainingfor young people, supporting entrepreneurship,fostering of MSEs, improving the capacities of smallbusiness, and integration of MSEs in value chains.

3. STRATEGY

Participants of the programme in Rimbaue, Nampula.

Programme Beneficiary, in training with INEFP, under the joint programme.

At a policy level, key programme results included:advocacy of the Extractive Industries TransparencyInitiative (EITI), the elaboration of the DraftNational Content Law and the NationalEmployment Policy, and support in theirimplementation. Under the Training for RuralEconomic Empowerment approach, training andstart-up kits were provided to 380 young womenand men, giving them the tools they need to starttheir own businesses.

Institutional capacity building focused on localbusiness service centres (Centro de Serviços deNegócios) in order to help local agribusiness withmanagement and links to bigger buyers, such ascatering firms and supermarkets.

Efforts to promote local content and procurementshowed promising results. A market linkages forum

was organized to bring together local companiesand agricultural producers in Montepuez. Manylocal and international mining companies showedinterest to use local content, as a result.

At the time of final evaluation, 472 companyprofiles were in the Subcontracting and PartnershipExchange Platform, with 129 matches madebetween buyers and suppliers, at the time of thefinal evaluation, including three domesticcompanies with South African buyers.

In terms of environmental performance andpromotion of resource-efficient and cleanerproduction, 80 national consultants were trainedand 14 companies benefited from assessments.The performance of an additional 69 companieswere benchmarked, allowing them to understandand improve their performance.

4. RESULTS AND IMPACT

The programme was affected by the globalslowdown in the oil and gas sector. Thisresulted in a delay in critical investments byMNEs, which were necessary to further theobjectives and strategy of the programme.

5. CHALLENGES

Joint mission led by UN Resident Coordinator, Marcia de Castro, to site of centre for new technology in green construction, Namialo,

Nampula.

Training and start-up kits were provided to 380 youngwomen and men, giving them the tools to they need tostart their own businesses

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7. SUSTAINABILITY AND POTENTIAL FOR REPLICATION

This joint programme was closelyaligned with government policy onlocal content and employment andshowed great potential forsustainability in-country andreplication in other countries withnatural resource-based economiesand local skills mismatch andunderemployment. Programmeactivities, in particular, the NationalEmployment Policy, elaboratedwith the support of the jointprogramme, will continue withadditional support from theGovernment of Sweden.

6. LESSONS LEARNT

➢The programme suffered delays due to theslowdown in the global oil and gas sector and laterdue to incidents involving extremist groups thatlimited access to sites because of security issues. Itis important, in changing circumstances, to managethe expectations of the beneficiaries and theparticipating communities and also adjustprogramme interventions accordingly.

➢ Despite the gender-sensitive skills gap analysisand a specific training for women in the extractive

industry value chains, it was hard to engagewomen in joint programme activities, both at theindividual and MSE level. The programme adoptedan inclusive approach, however, more work is stillneeded to promote gender mainstreaming andwomen’s economic empowerment, and allowwomen to participate and fully benefit fromopportunities created in the sector.

A programme beneficiary, behind her, the site of offshore gas field and platform now under construction, in Palma, Cabo Delgado.

By Catherine Wong, Programme Specialist, SDG Fund, with input from Igor Felice, Chief Technical Advisor, ILO, FatimaAmade, Governance Specialist, UNDP, Jaime Comiche, Country Representative, UNIDO, and Teresa George Akkara,Intern, SDG Fund, and editing by Vesna Jaksic Lowe, Communications Consultant and Writer, and translation by VíctorGarrido Delgado, Communications Consultant and Writer, SDG Fund.