Cover Image
close this bookThe Reintegration of War-Affected Youth: The Experience of Mozambique (International Labour Organization, 1997, 52 p.)
close this folder3. Reintegrating war-affected youth into society in Mozambique through vocational skills training programmes
close this folder3.4. Selected examples of mainstream vocational training courses
View the document(introduction...)
View the document3.4.1. GPE/GTZ Micro-Enterprise Promotion Project in Mozambique
View the document3.4.2. Agricultural Training Centre (Centro da Formação Agrario)
View the document3.4.3. Ntwanano project (Polana Caniço)

3.4.1. GPE/GTZ Micro-Enterprise Promotion Project in Mozambique

The GPE/GTZ Micro-enterprise Promotion Project in Mozambique started with an experimental phase in January 1992, which was transformed into a long-term phase in July 1993. It is contained within the Gabinete de Promo de Emprego (GPE), the Employment Promotion Office of the Mozambican Ministry of Labour. The project aims to create jobs and generate income through the promotion of micro-enterprises by awarding micro-credits (volume between US$200 and US$800) and conducting training courses on basic management issues. It operates primarily in the three major cities in Mozambique: Maputo, Beira and Nampula.1

1 GTZ, The “Micro-enterprise Promotion Project in Mozambique GPE/GTZ” presented in a few words, July 1993-July 1996, information note, Maputo, undated.

Since the beginning of credit operations in January 1994, more than 2,200 credits to the value of US$1 million have been disbursed (in Maputo and Beira only) and a reimbursement rate of more than 90 per cent has been achieved.2 In so far as training is concerned, a methodology known as Competency-based Economies through Formation of Enterprise (CEFE) has been used. It is a participatory and action-oriented training programme using games and simulations consisting of a set of different training modules. The course takes 22 hours half-time study over one week and includes instruction on business behaviour, basic book-keeping, price and cost control3 and sales promotion.

2 ibid.

3 The Project Coordinator felt that more time might usefully be devoted to this issue. Discussion with Rolf Speit, 5 Dec. 1996.

A number of important lessons have been learnt during the four years the project has been running. For instance, the success of the project has been increased by opting for low-value individual credits and by concentrating on people with existing business experience. Eighty-five per cent of the course attendees1 are from commercial enterprises, and thus only a few are involved in production or service activities. Production companies could be developed but production is inherently risky and needs a much higher input of capital and technical expertise. Current profit margins in the commercial sector are a reasonable 20 per cent, but are likely to fall within the next 3-4 years.

1 Half are women and half are men, though not apparently by design.

The project coordinator pointed out that there were potential risks in promoting self-employment for youths without family responsibilities. Unless there was sufficient monitoring, credits might be more prone to abuse.