Mozambique state employees are set to receive half of their 2024 13th salary following government concessions post-elections. Protests have severely impacted the economy, particularly the industrial sector, and the government’s ability to fulfill salary obligations. Issues with salary payments pre-date the current unrest, pointing to deep-rooted systemic inefficiencies and corruption, as highlighted by political analysts and economists alike.
This month, state employees in Mozambique will receive half of their 2024 13th salary, a move made after the previous administration, led by Filipe Nyusi, claimed it could not pay this salary due to post-election protests. Nyusi had previously cautioned that the blockades instigated by protests would detrimentally impact state revenue.
The Confederation of Economic Associations (CTA) reported that the protests post-October 2024 elections nearly devastated 40% of the industrial sector. Economist Egas Daniel highlighted how these protests severely weakened the government’s capacity to fulfill even routine payment obligations, stating that the finance minister revealed a loss of 42 billion meticais in the preceding quarter due to civil unrest.
Despite the above losses, Daniel cautioned against solely attributing the payment failures to the protests alone. He pointed out that since the implementation of the Single Salary Table in 2022, the government has struggled with timely salary disbursements, indicating that issues with salary payments might persist regardless of protest activity.
Historically, the 13th salary payment was withheld in 2022, and in 2023, only 30% of the salary was disbursed in two installments. Political analyst Aly Caetano contested the assertion that demonstrations are the core reason for the government’s inability to meet its financial commitments, suggesting the government has a pattern of blaming external factors for its failings.
Caetano explained the deeper systemic issues within Mozambique’s economy, pointing to a lack of production and substantial revenue collection deficits resulting from corruption. This combination hampers the government’s ability to provide essential social services, including education and healthcare.
From the protests emerged one positive aspect: an increase in awareness regarding institutional issues. For instance, the Tax Authority reported a loss of 4.5 billion meticais due to border blockades, prompting questions about governmental financial transparency and accountability. The Right to Information law exists, yet many issues remain shrouded in secrecy, demonstrating that protests can reveal previously hidden state operations.
Mozambique is currently facing a financial crisis characterized by widespread protests stemming from political discontent and economic challenges. These protests have raised issues about the government’s accountability and its ability to honor financial commitments to public servants, particularly concerning the annual 13th salary payment. This situation is compounded by long-standing fiscal mismanagement, inflation, and external economic pressures, which have led to significant impacts on various sectors, especially the industrial sector. The background also includes historical trends of salary non-payments, particularly focusing on the struggles of the government since implementing the Single Salary Table, which has led to delays in employee compensation and raised public concern about governance and transparency.
In summary, Mozambique’s ongoing economic challenges and political protests highlight critical issues regarding governmental transparency, fiscal responsibility, and accountability to public servants. The demonstrations, while disruptive, have unveiled deeper systemic problems within the state, which are rooted in decades of mismanagement and corruption. Addressing these challenges will require significant structural reforms and accountability measures to rebuild public trust and ensure social services are adequately provided to citizens.
Original Source: clubofmozambique.com
