WEF_GrowAfrica_AnnualReport2014

2013 in Review 2013 in Review
LETTERS OF INTENT
The Year in Numbers
2013 action for transformation
A selection of companies engaging in each country have outlined their investment plans by signing “Letters of Intent”.
For 2013, the following statistics aggregate any data shared by these companies in the spirit of mutual accountability.
20 Companies have
Letters of Intent (LoIs)
IMPLEMENTATION PROGRESS REPORTED
7% Complete
20% Performing well
33% On plan
15 of 20 companies provided data.
27% Minor problems
7% Major problems
7% Cancelled
$91 million of investments made in 2013
Planned investment
estimated at $173 million
4 of 20 companies provided data.
Leadership and alignment
•¡
Agriculture is a key priority for the
Mozambican government.
•¡
The country’s top leadership is highly
committed to improving the business
environment and consequently promoting
profitable and socially-inclusive
agribusiness.
Strategy setting
•¡
PEDSA, a ten-year strategic plan for
agricultural development, targets 6
corridors to align efforts across the public,
private, and development sectors.
•¡
The World Bank’s Sustainable Irrigation
Development (PROIRRI) project is
strategically aligned to PEDSA and
supports development of out-grower
schemes within the Beira Corridor through
irrigation schemes.
Risk mitigation and financing
•¡
A dedicated Catalytic Fund raised an initial
$20 million for the Beira Agricultural Growth
Corridor (BAGC) and fills a gap by providing
affordable risk capital for early-stage
agribusinesses that are unable to access
commercial markets.
•¡
Access to affordable finance is still a major
challenge for SMEs. Interest rates are
above 20% and commercial banks usually
require 100% collateral.
•¡
Government is working to keep Central
Bank interest rates low.
Infrastructure and policy
•¡
Significant investments have been
prioritised by the government to address
infrastructure bottlenecks, with significant
upgrades currently being made to road and
rail networks.
$90 million of capital expenditure.
$1 million of operating expenditure.
6 of 20 companies provided data.
OUTCOMES REPORTED FOR 2013
1430 jobs created:
67% 33%
5 of 20 companies provided data, of which
60% was gender disaggregated.
225,000 smallholders reached:
18% 82%
2,201 with sourcing
Investment pipeline
•¡
The government, with other partners, aims
to unlock private investment by targeting
public efforts at key constraints, including
infrastructure, equipment, scientific
research, knowledge and expertise levels,
and policy-setting, and by clarifying
processes for investors.
•¡
Three priority corridors (Nacala, Zambezi
Valley and Beira), offer a focus for
generating and coordinating investment.
•¡
The government has publicly advised its
intentions to electrify most of the country,
while the implementation of prepaid
electricity meters is already underway.
Delivery and implementation
•¡
CEPAGRI and the CPI offer institutional
support, and are dedicated to assisting
private-sector investors and facilitating
investments.
•¡
The National Agribusiness Forum has
been launched by CEPAGRI to engage
the private sector, as well as other major
stakeholders, to access and circulate
information on investment opportunities
within the country.
•¡
The possibility exists of a Public-Private
Partnership Working Group being set up to
enhance collaboration and communication
between investors and the public sector.
56,873 with training
166,880 unspecified
10 of 20 companies provided data, of which
30% was gender disaggregated.
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Mozambique
Mozambique
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