Mozambique: Foreign currency shortage - Sixty-three companies have overdue invoices
DW / A market in Maxixe, Inhambane
In Inhambane province in southern Mozambique, the number of unemployed people rises inexorably. Prices do the same, and the local population, fearing they will face even more difficulties as the festive season approaches, has appealed to the government for help.
Six months ago, Samuel Marcos was laid off by the company where he had worked for several years. Now, he sells food in a Maxixe market in Inhambane province, but, because of rising prices, business is not going well.
“Lately, compared to other times ,there has been a big change and there is no business. A person leaves home with the intention of buying, say, sugar for 35 meticais and ends up paying 65 or 60 (less than EUR 0.5). I believe that things are very bad.”
It is not just the sugar price that has increased. Chickens are being sold at 250 meticais, (about EUR 3.00) where a few months ago, they cost only EUR 1.5. A bag of rice costs today around 2,200 meticais (about EUR26 euros), more than double the price a few months ago.
More difficulties over the Christmas season
With the approach of the festive season, residents fear they will have even more difficulties.
According to the government, this year more than two thousand people lost their jobs in the province because of the economic crisis and the uncertainty caused by political and military tension.
And inflation does not help, says Amelia Josefa, a vendor at the central market in Maxixe.
“Speaking for myself, I don’t think we will spend well over Christmas and the New Year. Price rises mean that certain products will be beyond my reach, but we’ll cope somehow.”
Arlindo João, another merchant, is asking the government for help.
“We cannot buy things for our market stalls. We have large stalls, but we cannot afford to stock them. The festivities will not go well because prices are too high. I think the government should see what it can do about these prices.”
Ernesto Tafula, an official at the National Inspectorate of Economic Activities in Inhambane, is asking traders to set fair prices. Local authorities can not fight alone against the economic crisis affecting the country, he says, but do try to combat speculation in stores and markets.
“We go into shops and markets and require invoices and receipts in order to verify that sellers are not speculating. Anyone who has no documents supporting their prices is compelled to charge fair prices.”
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