Approval of the Regulation on Mere Prior Notification for the Exercise of Economic Activities in Mozambique

The Council of Ministers has approved Decree No. 40/2026 of 27 July, which adopts the new Regulation on Mere Prior Notification for the Exercise of Economic Activities, repealing the previous Decree No. 27/2023 of 23 May.

The legislation seeks to strengthen the principles of administrative simplification, digitalisation, institutional interoperability, trust in individuals and ex-post supervision, aligning the regime with international best practices for promoting the business environment and formalising economic activities.

The Decree enters into force 90 days after the date of its publication, i.e. on 25 October 2026.

Key innovations

1. Revision of the Mere Prior Notification Regime

The Regulation establishes the legal regime applicable to Mere Prior Notification for the Exercise of Economic Activities, based on the principles of digital transformation, administrative simplification, trust in individuals and ex-post supervision. It covers economic activities classified as low-risk, i.e. those which, by their nature, do not cause significant negative impacts on the economy, the environment, public health or safety.

The regime applies to individual entrepreneurs and national business companies, as well as foreign individual entrepreneurs, regardless of their classification as micro or small enterprises, with the economic activities eligible for Mere Prior Notification listed in Annex II to the Regulation, in accordance with the Economic Activities Classification (CAE).

Mere Prior Notification consists of a declaration made by the entrepreneur which enables them to commence the economic activity, by completing the relevant form, submitting the documents required by law and paying the legally established fees.

2. Competence and Registry

The One-Stop Shops (BAUs) are responsible for processing Mere Prior Notification requests, as well as for issuing and revoking the corresponding Certificate. Where no BAU exists, this competence is exercised by the District Governments.

3. Digitalisation, Interoperability and Digital Inclusion

Acts relating to Mere Prior Notification must preferably be carried out electronically, through the Integrated Platform for Citizen Services (e-BAU). Public entities must ensure the interoperability of their information systems through the national interoperability platform, dispensing with the repeated submission of documents already provided by the citizen.

An electronic signature has the same legal value as a handwritten signature. For citizens without electronic means, the State must ensure alternative access mechanisms, namely digital kiosks at the One-Stop Shops, in-person assistance for electronic submission and mobile-based solutions.

4. Certificate of Mere Prior Notification

Key aspects include:

a) issuance within a maximum period of 2 (two) hours from submission of the request, with late issuance not preventing the activity from commencing;

b) validity of 3 (three) years, renewable for an equal period upon a request filed at least 7 (seven) working days in advance;

c) an obligation on the holder to notify, at least 15 (fifteen) working days in advance, changes to details, corporate purpose, suspension or closure of the establishment, and to update the registry by 31 March each year;

d) lapse of validity through expiry, waiver or revocation, the latter applying, among other cases, to non-exercise of the activity for 6 (six) consecutive months, repeated non-compliance and the making of false statements.

5. Supervision and Penalty Regime

Economic operators benefiting from Mere Prior Notification are subject to supervision after issuance of the Certificate, in order to verify compliance with the technical and operational conditions set out in the general and specific legislation applicable to the activity carried out.

6. Penalties and Fines

Breach of the Regulation's provisions is punishable by a recorded warning, a fine, suspension of the activity, closure of the establishment or interdiction from carrying out the activity.

Fines range between 2 (two) and 5 (five) times the public sector minimum wage, depending on the infringement, with the amount tripled in the event of a repeat offence.

7. Fees

The issuance, re-issuance and annotation of the Certificate of Mere Prior Notification are subject to a fee, calculated by reference to the public sector minimum wage. Micro-enterprises and micro-industries are exempt from any fees.

The revenue collected is allocated 60% to the State Budget and 40% to the licensing authority, with payment to be made electronically through the State Payment Service (SESPE).

Conclusion

Decree No. 40/2026 reflects the legislator's intention to strengthen administrative simplification, digitalisation and institutional interoperability in the licensing of low-risk economic activities, fostering a more predictable regulatory environment aligned with international best practices for promoting the business environment.

In this context, economic operators holding Certificates issued under Decree No. 27/2023 of 23 May must regularise their Certificates with the licensing authority within 6 (six) months from the entry into force of the new Regulation, at no cost.

_JLA NL Approval of the Regulation on Mere Prior Notification for the Exercise of Economic.

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