Investment climates in developing countries like Mozambique are critical for attracting Foreign Direct Investment (FDI), which can drive economic growth and development. The study employs a mixed-methods approach combining quantitative data from national surveys with qualitative insights from interviews with investors and policymakers. Findings indicate that improvements in regulatory clarity and infrastructure significantly enhance the attractiveness of Mozambique for potential FDI, as evidenced by increased investor interest in recent years. The comparative analysis reveals key factors contributing to Mozambique's evolving investment climate, offering insights into policies aimed at fostering FDI attraction. Based on findings, recommendations include strengthening regulatory frameworks and enhancing infrastructure development to further attract FDI.