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Mozambique - School of International and Public Affairs - Columbia ...

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<strong>Mozambique</strong>: Mobilizing Extractive Resources for Development May 2013<br />

Figure 21: Botswana - Diamonds, Revenues <strong>and</strong> Social Development<br />

Source 1: Hubert, Resources, Revenues, <strong>and</strong> Social Development: Prospects <strong>and</strong> Challenges for the Extractive<br />

Sector in <strong>Mozambique</strong>.<br />

Recommendation 12 :<br />

- Engage with local communities very early in the project cycle to identify community needs,<br />

shortcomings, <strong>and</strong> strengths.<br />

- Align community strengths with private sector dem<strong>and</strong>s – build capacity where possible (<strong>and</strong><br />

needed).<br />

- Pursue a higher level <strong>of</strong> complexity in the supply chain.<br />

- Leverage/pool resources amongst stakeholders.<br />

- Engage international organizations to leverage expertise when designing <strong>and</strong> implementing<br />

capacity building initiatives.<br />

2.3.4 Areas <strong>of</strong> Concern<br />

<strong>Mozambique</strong>’s significant natural gas <strong>and</strong> coal reserve discoveries have given rise to very high <strong>and</strong> <strong>of</strong>ten<br />

unrealistic expectations <strong>of</strong> development benefits. As a large number <strong>of</strong> major multinational energy <strong>and</strong><br />

mining companies continue to make their presence felt in <strong>Mozambique</strong>, they are finding challenges to<br />

the long-term sustainability <strong>of</strong> their operations in local communities. Extractive companies are subject<br />

72

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