The Confederation of Economic Associations of Mozambique (CTA ), the country’s largest employers’ organization, argued this Friday, September 22, that the implementation of Compact II by the US agency Millennium Challenge Corporation (MCC), whose financing agreement was signed yesterday on Capitol Hill in Washington, “will bring business and investment opportunities to the private sector throughout the country”.
In a statement released today, to which DE had access, the CTA said that “the organization was pleased to learn of the signing by the MCC Board of Directors and the Mozambican government of a 500 million dollar financing package for the country under Compact II, which will focus on the province of Zambézia, covering three areas, namely Rural Connectivity and Transportation, Climate Change, Coastal Development and Investment Promotion in Commercial Agriculture”.
For the CTA, “the implementation of this program is a unique opportunity to leverage the national private sector at a time when it is still recovering from the effects of the successive shocks that have hit our country in recent years”
According to the Mozambican business community, together with the 300 million dollars from the agreement signed this year with the World Bank for the Loan Guarantee Fund, which totals 800 million, “the amount mobilized by the government could boost the development of the Mozambican private sector”.
The implementation of Compact II, according to the private sector, could also help small and medium-sized enterprises in particular to expand their market and thus “improve their financial strength”.
The president of the MCC, Alice Albright, said this Thursday (21), after signing the second financing compact, together with the Mozambican Minister of Economy and Finance, Max Tonela, that the donation of 500 million dollars for connectivity and coastal resilience projects represents a “landmark moment” in relations with Mozambique.
