afrol News, 14 March - Despite planning to increase revenues to grill its domestic economy, Mozambique will still continue to rely on foreign aid to carry out 49 percent of its expenditures.

This is contained in a document the Mozambican government sent to the parliament.

Designed by the Council of Ministers on the Plan of Action for Reducing Absolute Poverty 2006-2009 (PARPA II), the document indicates sharp increase on external dependence. The document however forecasts an increase in public revenues.

At the moment, 54 percent of Mozambicans are confined to poverty. But PARPA II implementers want to reduce poverty by 10 percent in 2009.

A partnership between Mozambique and a group of 18 countries allows the country to secure direct aid to consolidate its budget. Mozambique has one of the biggest programmes set aside for poverty alleviation in Africa.

Being a donors' favourite for over a decade, Mozambique also has one of the continent's highest shares of foreign aid to support its budgets. This aid is said to have done much to reduce poverty in the country, which was the world's poorest and less developed when it came out of civil war in 1994.

By staff writer

© afrol News

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