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After independence, Mozambique relied on international solidarity and managed donor relations well. Donor dependency entailed loss of agency, allowing donors to challenge government capacity but never its authority. During the 2010s, donors expressed disappointment with reforms and challenged government legitimacy — not only due to developments in Mozambique. Donors are less enthusiastic about harmonised development cooperation and less concerned with aid effectiveness. Aid budgets are under pressure and development finance links more to other foreign policy concerns. Mozambique should expect increasing instrumentalisation of aid budgets. Institutions Mozambique developed to deal with donors are not well suited to present challenges. They focus on less relevant areas of the relationship with foreign countries, which often serve other agendas. Reforms could start with strengthening Mozambique’s Foreign Service as a genuine coordinator of foreign relations and the establishment of greater discipline around national plans and strategies. Institutionalising strong links between the foreign ministry and key economic ministries under the leadership of the prime minister could help.
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