President Daniel Chapo Highlights Gapi-SI’s Impact on Economic Development

President Daniel Chapo emphasized Gapi-SI’s impactful role in Mozambique’s economic development during its 35th anniversary. He noted Gapi’s contributions to financial inclusion and job creation, particularly for youth, supported by significant funding and collaborative initiatives with international bodies. The President reaffirmed the government’s commitment to enhancing opportunities for young entrepreneurs, underscoring that economic and social initiatives are essential for the country’s future.

During the 35th anniversary celebration of Gapi-SI, President Daniel Chapo emphasized the company’s significant role in Mozambique’s socio-economic development. He acknowledged Gapi-SI’s dedication to fostering financial inclusion, aiding micro, small, and medium-sized enterprises, and generating employment, especially for the nation’s youth.

Chapo stated, “This is a special moment, because as we celebrate Gapi’s 35th anniversary, we reinforce our commitment to creating more employment opportunities, especially for young people, an essential objective of our government program.” Established in 1989, Gapi-SI has been pivotal as a facilitator of economic and social progress.

Data shared by Chapo revealed that from 2020 to 2024, Gapi-SI disbursed 1.4 billion meticais in loans, aiding 2,642 businesses and leading to approximately 8,753 new jobs. He noted that such achievements underscore the need for ongoing investment in sustainable growth and credit accessibility.

The event also underscored the partnership between Gapi-SI and the Government in securing international funding for key sectors. Chapo mentioned a significant donation from the African Development Fund in 2000 which rejuvenated the cashew industry, and a line of credit for $100,000 established for economic recovery after the floods that year.

Additionally, Chapo recounted the World Bank’s support between 2002 and 2004, which facilitated the reintegration of around 12,000 workers from Caminhos-de-Ferro de Moçambique. He highlighted two initiatives: the Economic Reconstruction Fund and the Mutual Guarantee Fund, which aim to enhance credit access and mitigate financial risks for small businesses.

The President also pointed out that 83 percent of the country’s states have bank branches and 92 percent have electronic currency agents, indicating significant strides in financial inclusion. One groundbreaking initiative discussed was INCUBOX, developed by Gapi technicians and funded by the European Union. This project aims to bolster youth entrepreneurship in Niassa, Cabo Delgado, and Nampula through mobile business incubators offering training and support.

Chapo remarked, “Young entrepreneurship needs support and real opportunities. We need to join forces between the government, companies and educational institutions to ensure that young people have access to the job market and can develop their own initiatives.” He concluded by reaffirming the Government’s commitment to projects that foster economic strength and address inequalities, stressing that youth employability is both an economic and social imperative, stating, “The future starts now, and it needs to be built by all of us.”

In summary, President Daniel Chapo’s address at Gapi-SI’s 35th anniversary highlighted the organization’s crucial contributions to economic development and financial inclusivity in Mozambique. With significant financial support, successful initiatives, and partnerships with international organizations, Gapi-SI remains vital in enhancing job creation, particularly for youth. Chapo’s commitment to continued support for entrepreneurship and employment programs signifies a crucial step towards a more equitable future for Mozambique.

Original Source: clubofmozambique.com