The impact of government decisions define the business environment and determine all the processes. Within this work I will play as consultant and recommend the govern for somechanges in some identified policy.
Appropriate conduct of macroeconomic policy can play a crucial role in the success of trade in the country. In this case it was identified the following policy whichcontributes for reducing import of goods:
• To import goods, the central bank needs the goods in Mozambique in order the payment to be made.
The present essay is part ofevaluation process within the subject “English for Business” and it intends to identify govern policy and recommend for some changes.
2. Government policy
As mentioned above, the policy to beconsidered within the document is related to import of goods, manly, equipments.
According to the evaluation conducted by the central bank, a lot of money were transferred to abroad for purchasingequipments but no equivalent goods entry to the country. Then, the government decided to prohibit transfer of money before the goods are in the country.
As is known, with open market, the companies canimport goods and services. But with this policy trade liberalization can be affected. Also, it implies to have the imports reduced. This reduction in the general level of domestic goods will force a highlevel of prices within the market.
3. Conclusions and recommendations
According to the explanation above presented, it can be concluded that although the policy is very important, the currentpolicy inconsistencies discourage trade and long-term investment.
Therefore, some changes should be considered and the following recommendations are made:
• Need to develop a mechanism toensure that the real import are taking place
• Need to develop an efficient information system
• Government policy should avoid large balance of payments deficits that create doubt about the...