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# Mozambique 12 Oct: Powerful forces opposed to peace
- URL: https://www.zitamar.com/mozambique-12-oct-powerful-forces-opposed-to-peace/
- Published: 2016-10-12T00:00:00.000Z
- Updated: 2016-10-12T00:00:00.000Z
- Author: Zitamar Ltd
- Tags: Newsletter, #substack, #substack-type-newsletter, #substack-access-everyone, #Import 2023-04-06 20:43

Good afternoon. Mozambique’s political environment has deteriorated further over the past week, following the assassination of one of Renamo’s negotiating team.

**SEE: [Mozambique peace talks on hold after Renamo negotiator is shot dead](http://zitamar.com/mozambique-peace-talks-hold-renamo-negotiator-shot-dead/?ref=zitamar.com)**

Renamo says it will not be diverted from negotiations, however, which are due to restart next week - giving all parties more time to take stock of the situation.

**SEE: [Renamo promises to continue Mozambique peace talks](http://zitamar.com/renamo-promises-continue-mozambique-peace-talks/?ref=zitamar.com)**

Continued political turmoil means Rand Merchant Bank’s prediction that the metical will hit 95 to the dollar before the year ends seems likely to come true. Meanwhile inflation hit a startling 25% over the last year - a situation which will only get worse as regulated price rises begin to bite.

**SEE: [Mozambique inflation hits record high as metical heads for 95](http://zitamar.com/mozambique-inflation-hits-record-high-metical-heads-95/?ref=zitamar.com)**

Tomorrow will mark two weeks that Mozambique is without a minister of mineral resources and energy, at a time when the country is looking to precisely those sectors to drag it out of its economic mire. Conspiracy theories exist but for the most part, stakeholders remain mystified as to why Pedro Couto was dismissed.

In the meantime, investors are trying to make the best of it. Rio Tinto and Savannah Resources have apparently given up waiting for approval from the ministry, MIREME, and decided to move ahead with their joint project in the belief that one day, approval will come.

**SEE: [Rio Tinto, Savannah move ahead with Mozambique JV despite no govt approval](http://zitamar.com/rio-tinto-savannah-move-ahead-mozambique-jv-despite-no-govt-approval/?ref=zitamar.com)**

Projects like Rio’s and Savannah’s, on the coast of southern Mozambique, have a great advantage over those further inland and in the conflict-hit centre. Over the past week, [reports have emerged of apparent Renamo attacks on Vale’s rail line to Nacala](http://allafrica.com/stories/201610090010.html?ref=zitamar.com) \- just after the government said it had persuaded the company to restart using the line to Beira.

Finally, we report that Zimbabwean conservationists have praised a decision to send surplus wild animals to Mozambique’s national parks rather than to customers in Asia

**SEE: [Zimbabwe conservationists welcome plan to send animals to Mozambique](http://zitamar.com/zimbabwe-conservationists-welcome-plan-send-animals-mozambique/?ref=zitamar.com)**

However, given the quantity of [Mozambican ivory recently discovered in Vietnam](http://allafrica.com/stories/201610090026.html?ref=zitamar.com), they might reconsider.

Have a great week.

### RECENT POSTS

- [Rio Tinto, Savannah move ahead with Mozambique JV despite no govt approval](http://zitamar.com/rio-tinto-savannah-move-ahead-mozambique-jv-despite-no-govt-approval/?ref=zitamar.com)
- [Zimbabwe conservationists welcome plan to send animals to Mozambique](http://zitamar.com/zimbabwe-conservationists-welcome-plan-send-animals-mozambique/?ref=zitamar.com)
- [Mozambique inflation hits record high as metical heads for 95](http://zitamar.com/mozambique-inflation-hits-record-high-metical-heads-95/?ref=zitamar.com)
- [Renamo promises to continue Mozambique peace talks](http://zitamar.com/renamo-promises-continue-mozambique-peace-talks/?ref=zitamar.com)
- [Mozambique peace talks on hold after Renamo negotiator is shot dead](http://zitamar.com/mozambique-peace-talks-hold-renamo-negotiator-shot-dead/?ref=zitamar.com)