Foreign ownership, including of foreign majority-owned firms established in mozambique, of properties that have historically belonged to the State, or have been nationalized by the State at some point, is not allowed. Foreigners can only acquire real estate in Mozambique that has never belonged to or been nationalized by the state. However, according to the Mozambican authorities, despite the existence of such requirement, this is no longer applied in practice. For the purposes of the OECD FDI RRI, however, de jure restrictions are accounted even though they might not be enforced anymore or might lack implementation rules for instance.
"Article 1 - (1). The State may proceed with the sale of properties owned by it in favor of the respective tenants. in accordance with the provisions of Law n.' 5/91. of January 9, and in the present diploma.
(two). Legal persons or companies that comply with the provisions of paragraph (2) of article 4 of Decree-Law No. 5/76, of February 5th, will be considered foreigners [For the purposes of Decree-Law No. 5/76: legal persons or foreign companies are those whose majority of the share capital or partners are foreigners. Legal persons or foreign companies that, being legally authorized to carry out their activities in Mozambique, needed the respective properties for the pursuit of their corporate purpose were excluded].
[...]
Art. 16. Future transfers of ownership are only possible in favor of national citizens or companies.[...]" (Decree No. 02/1991 - Determines the procedures concerning the sale of real estate in favor of tenants [google translation])
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"Article 3 (rural area)
For the purposes of this diploma, "rural area" is understood to mean the entire national territory with the exception of cities.
Article 4 (Eligibility for Disposal)
1. National citizens and national legal persons or companies, even if they are not tenants of commercial properties located in rural areas, may transfer them under the terms of this Decree.
2. Property leased to national citizens. legal persons or national companies, can only be sold to them.
3. Legal persons or companies that meet the conditions set out in paragraph 2 of article 4 of Decree-Law no. 5/76 of 5 February are considered to be foreign entities [see explanation above].
4. Transmissions can only be made to national citizens and national legal persons or companies.[...]" (Ministerial Order No. 81/2008 – Establishes the procedures for the sale of real estate intended for the exercise of commercial activity located in rural areas and defines the powers of the bodies involved in it [google translation])
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"Article 1 - 1. Properties in ruins that reverted to the State under article 10 of Decree-Law No. 16/75, of 13 February, and unfinished properties that became the property of the State by virtue of article 16 of Decree-Law no. 5/76, of 5 February, may be sold under the terms of this diploma.
2. The disposal referred to in the previous number as well as future transfers can only be made to national citizens and companies.
3. Ruined or unfinished properties that have always belonged to the State are also covered by the provisions of paragraph 1 of this article.
Art. 2 - 1. For the purposes of this law, buildings in ruins are understood not only to be buildings that only present part of their structure, but also those that are in an advanced state of degradation, even if they maintain their roof and other structural components. .
2. For the purposes of this diploma, a national company is considered to be one that is incorporated and has its headquarters in the country.[...]" (Ministerial Order 97/92 of 8 July (the sale of ruined buildings, unfinished buildings and dilapidated buildings [google translation])
Decree No. 02/1991 - Determines the procedures concerning the sale of real estate in favor of tenants [google translation]
Ministerial Order No. 81/2008 – Establishes the procedures for the sale of real estate intended for the exercise of commercial activity located in rural areas and defines the powers of the bodies involved in it [google translation]
Ministerial Order 97/92 of 8 July (the sale of ruined buildings, unfinished buildings and dilapidated buildings [google translation]
[<a href="https://www.salcaldeira.com/index.php/pt/publicacoes/artigoss/doc_download/16-decreto-n-02-1991-determina-os-procedimentos-concernentes-a-alienacao-de-imoveis-a-favor-de-inquilinos">Decree</a>],[<a href="https://www.salcaldeira.com/index.php/pt/publicacoes/artigoss/doc_download/23-diploma-ministral-n-81-2008-estabelece-os-procedimentos-para-alienacao-dos-imoveis-destinados-ao-exercicio-da-actividade-comercial-situados-nas-zonas-rurais-e-define-as-competencias-dos-orgaos-nele-intervenientes">Order</a>],[<a href="https://gazettes.africa/archive/mz/1992/mz-government-gazette-series-i-dated-1992-07-08-no-28.pdf">Order</a>],[<a href="https://www.salcaldeira.com/index.php/en/publications/articles/doc_download/343-a-proibicao-de-alienacao-de-imoveis-a-estrangeiros">Other</a>]