COMECON in the context of "People's Republic of Mozambique"

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⭐ Core Definition: COMECON

The Council for Mutual Economic Assistance, often abbreviated as Comecon (/ˌkɒmɪˈkɒn/ KOM-ik-ON) or CMEA, was an economic organization from 1949 to 1991 under the leadership of the Soviet Union that comprised the countries of the Eastern Bloc along with a number of socialist states elsewhere in the world.

The descriptive term was often applied to all multilateral activities involving members of the organization, rather than being restricted to the direct functions of Comecon and its organs. This usage was sometimes extended as well to bilateral relations among members because in the system of communist international economic relations, multilateral accords—typically of a general nature—tended to be implemented through a set of more detailed, bilateral agreements.

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👉 COMECON in the context of People's Republic of Mozambique

The People's Republic of Mozambique (Portuguese: República Popular de Moçambique) was a communist state that existed in present-day Mozambique from 1975 to 1990. It was established when the country gained independence from Portugal in June 1975 and the Mozambican Liberation Front ("FRELIMO") established a communist state led by Samora Machel. The state enjoyed close political and military ties with the Soviet Union, which was one of the first nations to provide diplomatic recognition and financial support to the fledgling FRELIMO government. For the duration of its history, the People's Republic of Mozambique remained heavily dependent on Soviet aid, both in financial terms as well as with regard to food security, fuel, and other vital economic necessities. From 1977 to 1992, the country was devastated by a deadly civil war which pitted the armed forces against the anti-communist Mozambique National Resistance (RENAMO) insurgency, backed by neighbouring Rhodesia and South Africa.

The People's Republic of Mozambique enjoyed close relations with the People's Republic of Angola, Cuba, and the German Democratic Republic (East Germany), all of which were socialist states at the time. The People's Republic of Mozambique was also an observer of the COMECON ("Council for Mutual Economic Assistance"), which was an economic organization of communist states. Mozambique made a bid to formally join COMECON as a member state in the early 1980s but was rebuffed, despite East German sponsorship and endorsements. Following the decline of Soviet and COMECON economic influence in the 1980s, the People's Republic of Mozambique sought rapprochement with the United States, the International Monetary Fund and West Germany after the death of Samora Machel and the beginning of economic reforms under Joaquim Chissano.

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COMECON in the context of Economy of East Germany

The economy of the German Democratic Republic (East Germany; GDR, DDR) was a command economy following the model of the Soviet Union based on the principles of Marxism-Leninism. Sharing many characteristics with fellow COMECON member states — the East German economy stood in stark contrast to the market and mixed economies of Western Europe and West Germany. The state established production targets, set prices, and also allocated resources, codifying these decisions in comprehensive plans. The means of production were almost entirely state-owned. The GDR had an above-average standard of living compared to other Eastern Bloc countries or the Soviet Union, and enjoyed favorable duty and tariff terms with the West German market; in 1989, it was estimated that 50 to 60% of its trade was with Western countries. However by the mid-1980s its economy had reached a state of stagnation, contributing to the process of German reunification.

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