The recent suspension of projects by the United States Agency for International Development (USAID) in Mozambique, following an executive order by President Donald Trump, poses a significant challenge for the country. This decision, initially set for a 90-day period, affects crucial areas such as health, education, and infrastructure.
Impact on the Health Sector
USAID has been a key partner in Mozambique’s development, investing over $1 billion annually across various sectors. Of this amount, approximately $400 million is allocated to combating HIV/AIDS, a disease that remains one of the country’s major public health concerns, with a prevalence rate of 11.6%. Since 2004, the United States has invested over $5.2 billion in response to the epidemic, which affects more than one million Mozambicans.
Mozambique’s Prime Minister, Maria Benvinda Levi, acknowledged that the health sector will be the most affected by the suspension of funding. She stated that the government will need to redirect internal resources to mitigate the impact of this decision, emphasizing the importance of U.S. support in social areas, particularly in healthcare.
Consequences for Other Sectors
Beyond healthcare, other sectors also heavily depend on USAID funding. Education, sanitation, agriculture, and disaster response are among the areas benefiting from U.S. support. The suspension of USAID-funded projects raises concerns about the future of these initiatives, particularly given budget constraints and the government’s limited investment capacity.
Projects at Risk
One of the projects at risk is the Millennium Challenge Corporation’s Compact II, valued at $537 million, of which $500 million would be funded by the U.S. government. This project, set to be implemented in Zambézia Province, includes the construction of a new bridge over the Licungo River and a provincial ring road. The suspension jeopardizes the completion of these essential infrastructures, crucial for regional development.
Reactions and Perspectives
The Mozambican government has expressed concern over the potential impacts of this temporary suspension of U.S. aid. The Prime Minister emphasized that, while awaiting a final decision from the U.S., the challenges ahead are substantial. She highlighted the need for effective internal management to navigate this situation, recalling that the country has overcome other crises in the past.
The suspension of USAID-funded projects in Mozambique presents a significant challenge, especially for social sectors that heavily rely on this support. The Mozambican government’s ability to redirect internal resources and find alternative solutions will be crucial in mitigating the impacts of this decision and ensuring the continuity of progress achieved in recent decades.
