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Data Centers in Mozambique

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Mozambique – Strategic Gateway to Southern Africa

Executive Summary

Mozambique is an emerging market for businesses targeting Southern and East Africa. The country offers a strategic coastal entry point with growing submarine cable connectivity, providing a viable alternative to more established hubs for reaching underserved populations. For companies focused on regional expansion, Mozambique's improving infrastructure and cost-effective power present a compelling opportunity for growth.

Mozambique: At A Glance

FactorRating / DataNotes
Global Connectivity GradeBDeveloping international connectivity via key submarine cables.
Direct Cloud On-Ramps0 – as of September 2025Nearest major cloud hub is Johannesburg, South Africa.
Power CostUS$0.06/kWh – as of September 2025Dominated by cost-effective and renewable hydropower resources.
Disaster RiskVery High (7.1/10) – as of September 2025Risk profile is driven by weather-related events and vulnerability.
Tax IncentivesYesGeneral investment incentive agreement signed with the DFC/OPIC.
Sales Tax16% VAT – as of September 2025Standard rate applied to goods and services.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Mozambique's ecosystem includes over 10 carriers as of September 2025. The market features six data center facilities, providing colocation options for enterprises building out their presence in the region.

Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Mozambique. Businesses connect to cloud providers by routing traffic through Johannesburg, South Africa. Private network extensions can be established to create dedicated, lower-latency connections to cloud services.

Internet Exchange Points (IXPs): The primary exchange is the Mozambique Internet Exchange Point (MOZ-IX) located in Maputo. MOZ-IX is critical for keeping domestic traffic within the country, which reduces latency and lowers costs for service providers.

Bare Metal: Bare metal server options are available, primarily through global providers that can provision hardware in the region. Services from providers like Hivelocity or Latitude.sh can be leveraged for deploying dedicated compute resources.

Power Analysis

Average Cost Of Power: The average industrial electricity price is approximately US$0.06/kWh as of September 2025. This highly competitive rate is a result of the country's grid being powered mostly by hydropower, offering a significant operational cost advantage for high-density deployments.

Power Grid Reliability: The national grid infrastructure can be unreliable. However, data centers in Mozambique are engineered to mitigate this risk with standard N+1 redundancy, including enterprise-grade UPS systems and backup diesel generators to ensure consistent uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers are concentrated in and around Maputo, the capital and primary economic center. This location provides low-latency connectivity for government, financial services, logistics, and telecommunications organizations headquartered in the city.

Regional Market Reach: Mozambique's coastal location makes it a vital data gateway for neighboring landlocked countries, including Zimbabwe, Zambia, and Malawi. Its ports and growing fiber networks position it as a key transit hub for data traffic entering and leaving the region.

Tax Advantage For Data Centers: Mozambique offers tax incentives through a general investment agreement designed to attract foreign capital. This framework can reduce the financial burden of large-scale infrastructure projects, making it more cost-effective to establish and operate data center facilities.

Natural Disaster Risk

Mozambique has a Very High natural disaster risk profile, with an INFORM Risk score of 7.1 out of 10 as of September 2025. The primary threats are weather-related and environmental, requiring that facilities are built to high resiliency standards.

Key natural hazards include:

  • Drought (6.3/10)
  • River Flood (6.1/10)
  • Coastal Flood (5.6/10)
  • Tsunami (3.8/10)
  • Earthquake (3.4/10)
  • Tropical Cyclone (2.7/10)
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