The German Democratic Republic (GDR) established diplomatic relations with Mozambique as early as 1975, the year the country gained independence. Many Mozambicans studied in the GDR and around 20,000 people from the country were employed there as contract workers. After the end of the civil war, Germany played a part in rebuilding Mozambique. The large number of high-level visits testifies to the amicable nature of bilateral relations. Germany has provided wide-ranging support to the peace, reconciliation and stabilisation process in Mozambique.
Development cooperation is a priority in German-Mozambican relations, with Germany currently providing the country with some 50 to 60 million euros per year. In total, Mozambique has received around 1.3 billion euros in bilateral development cooperation funding since the 1980s. The focus of this cooperation is on good governance, education, sustainable economic development, energy, and biodiversity protection. Mozambique also benefits from funding Germany contributes to European Union support programmes and multilateral institutions.
Mozambique is Germany’s third most important trading partner in the Southern African Development Community (SADC).
The discovery of large amounts of natural resources spurred German companies’ interest in Mozambique. However, the initial dynamism this lent to bilateral relations was dampened by the serious economic and financial crisis that began in 2015 and the uncovering of the scandal credits (in April 2016). Mozambique Business Days are held regularly in Germany and German business people frequently visit the country.
Bilateral trade with Mozambique amounted to 233.7 million euros in 2018. Aluminium is Mozambique’s main export to Germany. From 2013 onwards, German exports to Mozambique increased significantly before declining again during the years of the economic and financial crisis. In 2018, German exports to Mozambique rose considerably once more.