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Insurgency and Covid restrictions a toxic mix

10 Nov 2021 - by -
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The arrival of troops from Rwanda and SADC has provided hope that the tide will turn in Cabo Delgado.This is according to Oxford Economics Africa, which has been monitoring developments in the country over the past few months.Specialising in providing forecasts and insights for major African countries, the company has also kept watch over the impact of the ongoing pandemic on Mozambique which, it says, has had an adverse effect on the country, mostly due to the ongoing restrictions.“These restrictions and the large-scale displacements due to the armed conf lict will hamper economic output this year,” reads a report. “On the bright side, the outlook for commodity exports has improved in the second half of 2021 thanks to robust Chinese demand. We forecast real GDP growth to recover slowly to 1.7% this year from -1.2% in 2020, before speeding up to 2.9% in 2022.”

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