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The Zambezia Company, the most profitable chartered company, took over a number of smaller prazeiro holdings, and established military outposts to protect its property.The chartered companies built roads and ports to bring their goods to market including a railroad linking present day Zimbabwe with the Mozambican port of Beira.

From the late first millennium AD, vast Indian Ocean trade networks extended as far south into Mozambique as the ancient port town of Chibuene.In 1994, Mozambique held its first multiparty elections, and has since remained a relatively stable presidential republic, although it still faces a low-intensity insurgency.Mozambique is endowed with rich and extensive natural resources.As a result, investment lagged while Lisbon devoted itself to the more lucrative trade with India and the Far East and to the colonisation of Brazil.During these wars, the Mazrui and Omani Arabs reclaimed much of the Indian Ocean trade, forcing the Portuguese to retreat south.

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