Mozambique businesses in limbo after protesters clash with police | DW News
By DW News
Key Concepts
- Police violence against protesters in Maputo, Mozambique
- Post-election protests and their impact on businesses
- Allegations of election rigging and government legitimacy
- Economic consequences of political unrest: business closures, job losses, revenue decline
- Government response and proposed solutions
- Need for political stability for economic recovery
Police Violence and Protests
- On March 18th, protests occurred in Maputo, Mozambique, organized by opposition leader Videncio Mundlani to honor national heroes killed in previous demonstrations, including activist Aagaya.
- The police's rapid intervention unit opened fire on crowds, resulting in at least two deaths, including one person shot in the head.
- The Center for Democracy and Development, a civil society organization, reported that the police fired live rounds at their team while they were observing the events.
- Eyewitnesses described police using tear gas and violence against protesters, including shooting a young boy who died.
- Mundlani announced a national shutdown on his Facebook page, calling it a national heroes day to honor Aagaya and others who fought for people's rights.
- Mundlani claims he won the October election.
Economic Impact of Post-Election Unrest
- Hundreds of people have died in anti-government protests in recent months, with demonstrators alleging that President Daniel Chapo rigged last year's election.
- The unrest has significantly impacted businesses, with many struggling to recover.
- The Chamber of Commerce estimates that at least 1,000 businesses have closed due to vandalism, looting, and disorder following the protests.
- Aldiro Eduardo's shopping center in Maputo was attacked the day before Christmas, resulting in significant damage.
- The attack reduced the number of employees from 250 to 15, and Eduardo is unsure how long he can keep them employed.
- Eduardo estimates that 40% of his infrastructure was destroyed by vandalism.
- The Confederation of Business Associations estimates that businesses lost €110 million in stock and infrastructure.
- Approximately 17,000 people have lost their jobs due to the business closures and damage.
- Tax revenues have declined by 600 million, a drop of about 17%, impacting the nation's economy.
Government Response and Challenges
- The government is in discussions with commercial banks, following orders from the president, to find quick solutions to the post-election tension and its impact on the economy and private sector.
- Eduardo attended a summit for affected business owners.
- Eduardo emphasizes that funding alone is insufficient without political stability, stating, "If I receive money from the state, what do I do if I get money? I'll buy the goods to replenish my inventory, and the next day the vandals will take everything."
- Eduardo identifies security as the biggest concern.
- Protests continue despite the government and opposition parties taking steps to resolve the post-election crisis.
Conclusion
The post-election unrest in Mozambique, fueled by allegations of election rigging, has led to significant police violence, business closures, job losses, and economic decline. While the government is seeking solutions, business owners emphasize that political stability and security are crucial for economic recovery. The ongoing protests highlight the need for government reforms and a resolution to the disputed election results. Without stability, the country's political woes will continue to affect businesses trying to rebuild.
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