Most African countries are dependent on foreign financial aids coming from different international organizations and countries across the globe. Mozambique is one such economy which thrives on such aids.
Despite several plans and programs to generate income in the country to improve it's domestic economy, Mozambique continues to be in a dismal state economically and has to depend on foreign aid to meet 49% of its total expenses.
What makes Mozambique a aid-dependent country?
As per the present data, 54% of the total population of Mozambique still live below the poverty line. To bring down the figure to 10% by the end of 2009, the country has to rely heavily upon foreign economic grants and loans. The bulk of foreign aid to Africa comes from the United States, both in the forms of loans and contributions.- Release of American funds worth $16 million to the 3 African countries of Congo, Togo and Uganda, which were earmarked to programs for the elimination of child labor.
- The United States disbursed foreign funds to Africa during 2004-2005, to help the nation work for the prevention and treatment of malaria, which was rising at an alarming pace and claiming lives irrespective of ages.
The present position of Foreign aid to Africa:
- The United States has so far released funds worth $3.2 billion in the form of foreign aid. On July 7, 2007, the United States announced plans to release another $764 million to Africa, in the form of emergency humanitarian food aid.
