This Annual Progress Report reviews Mozambique’s Economic and Social Plan for 2004. The report states that in 2004, public sector reforms were continued and consolidated. There was notable growth in social and economic infrastructure. The government was able to honor its budget execution commitments, channelling more resources into sectors prioritized in the Program for the Reduction of Absolute Poverty (PARPA) and keeping budget execution rates within the limits set in the budgetary legislation.
This paper discusses Mozambique’s Poverty Reduction Strategy Paper—Economic and Social Plan for 2005. In the international context, the paper presents the evolution of the international economy so as to understand under what economic conditions the country will have to implement its economic and social policy. It discusses the major macroeconomic objectives, and the evolution of the main economic indicators for Mozambique. The paper also presents the main policy measures to be implemented by the government, targets, and activities.