Mozambique’s government got a stark reminder last year that high economic growth would not necessarily lead to better livelihoods for all its people. In September, riots broke out in cities across the country, including the capital Maputo, after the price of bread was hiked by 30%. Calm was soon restored, but only after 13 people had died and almost 150 had been arrested.
The food riots happened despite a booming Mozambican economy over the past several years. Gross domestic product (GDP) expanded 7.4% in real terms between 2004 and 2010. The near future looks even brighter, with the economy forecast to rise 7.5% to 7.9% annually from 2012-16, making the country one of very few in the world expected to sustain a 7% growth rate over that period.
