COVID19: Impact, Reactions and the “New Normal” If there is a benefit to having a more remote population such as that of Mozambique, it’s that the country has suffered less of the contagion that has characterized more urbanized countries during the coronavirus pandemic. In terms of deaths per capita, at the time of writing, Mozambique has performed fourth best of all African countries, with less than 39 deaths registered in its population of 31.4 million people. hile the figures are cause for positivity, they’re tempered by the fact that, with 3 doctors per 100,000 people, Mozambique has one of the lowest doctor to patient ratios in the world. Many cases of Covid-19 are probably going unreported. Indeed, at the time of writing, new cases were on an upward trajectory within the country, with over 2,500 new cases reported in August - a monthly record. Like everywhere else, Mozambique could be facing a ‘new normal.’ For Mozambique, the ‘new normal’ in whatever form it takes, will need to prioritize logistics. As a country with two landlocked neighbours, it bears more responsibility than most countries to ensure that logistics continues to function normally. It will need to do this against a backdrop which is complicated to say the least. As the Head of Research at Allied Shipbroking has grimly pointed out: “Demand is caving and supply chains are in distress,”
W
14
BE SPECIAL REPORT [ MOZAMBIQUE ]
Inevitably, there has been some disruption. Most airlines have limited flights in and out of Mozambique to one a week, with significant amounts of air freight remaining in standby at warehouses all over the country. Sea freight is fully operational, with all documentation being submitted electronically. Meanwhile, road freight is largely closed with exceptions made for the entry of certain goods and medications. In the short-term, the negative economic impact is significant: The CTA (Confederação das Associações Económicas), a Mozambique Trade Association, estimates that Covid 19 could cost the domestic economy up to a billion dollars - or 7% of the country’s GDP. CTA President Álvaro Massingue is on record as saying that a new range of government-backed measures are required to stimulate the Mozambican economy in the post-Covid period. What stimulus measures might these include? Massingue suggests a tax holiday for
