Mozambique’s three main transport corridors (Nacala, Beira, Maputo) provide the main source of foreign exchange. They are international transit routes for southern Africa. But in the years following independence, the road network deteriorated significantly–owing to a combination of conflict, weak institutions, lack of financing for operation and maintenance. By the end of the civil war in 1992, with the agricultural sector accounting for roughly 50 percent of the GDP–recovery of distribution was urgent for the country’s economic recovery.
The First Roads and Coastal Shipping Project (1992-99)–one of a number of IDA-financed projects to rebuild Mozambique into a major international transit route–was originally designed to selectively rehabilitate key roads and small ports and increase the capacity of the trucking and coastal shipping industries. However, following the 1992 peace agreement the project was refocused on emergency assistance to repair war-damaged roads and bridges and to integrate the country after the civil war. This project–and the subsequent Second Roads and Coastal Shipping Project (1994-2003)–financed civil works and helped build an institutional framework for the entire sector with extensive technical assistance and training.
Significantly-reduced transport costs have resulted in increased availability of goods and services in rural areas and better access to such essential services as health and education.
Highlights:
- Civil works on primary and secondary roads led to reductions in travel times of up to 50 percent.
- Between 1992 and 2000, over 6,600km of rural roads were rehabilitated.
- Routine maintenance execution improved steadily and substantially: in 1994, less than 4,000 km of the total network were subject to routine maintenance. This number climbed to 15,000 km in 1998.
- Share of good and fair road network increased to 56 percent, from 10 percent before the project. Lower unit transport costs in real terms have led to significant increase in traffic volume as vehicle fleets have also increased from 130,000 to 200,000 vehicles over the last 10 years, resulting in increase in the basket of goods and services available in rural areas.
- The establishment of a modem, autonomous road agency the National Administration of Roads (ANE) and a stable financing mechanism in the form of a dedicated road fund.
- Among a number of other reforms and policy initiatives carried out under the project, was the development of the government's road policy to commercialize the management of the road network.
- Development of human resource capacity to improve the management of transport sector–nearly 10,000 staff were trained.
- The total cost was US$965 million, of which IDA contributed USS$261 million between 1992 and 2003.
- Support for capacity to establish regulatory body and commercialize road network.
- Strategic framework for donor consultation and mobilization of significant additional support for the program.
Arab Bank for Economic Development in Africa (BADEA), UN Development Programme, UN Capital Development Fund, African Development Bank, the European Commission, France, Kuwait, Norway, Sweden, Switzerland, Denmark, Germany, South Africa, Spain and the US.
The Road Agency’s competitive edge to attract and retain qualified staff was maintained, and the road maintenance fund made operational. A follow-on project (the Roads and Bridges Maintenance and Management Program) provides broad, coordinated donor financial and technical support to the road sector.
Roads and Coastal Shipping Project I (1992-99) and II (1994-2003)
Project documents I | II
RSS