By June the government had approved a total of 12 agreements for the implementation of development projects, valued at 585.9 million dollars, according to a report published by Lusa.
According to the information released on Wednesday 28 August, of the total amount, 20 million dollars will be made available by the Arab Bank for Economic Development in Africa (BADEA), 431 million dollars by the World Bank (WB) and 134.9 million dollars by the African Development Bank (AfDB).
The document states that the BADEA funds will be used to finance the government’s ‘One District, One Hospital’ initiative, while the WB funds will be used to boost the ‘Climate Resilient Roads in the North’ and ‘Green Energy Corridors’ projects, as well as to revitalise district and community health services.
‘In AfDB’s case, the funding is for the Programme for the Integrated and Resilient Development of Agro-Industrial Zones in Southern Mozambique (PROCAVA) and for the construction of the Songo-Matambo transmission line,’ he clarified.
The Songo-Matambo line project aims to reinforce the transmission network, accommodate existing suppressed demand and expected load growth in the centre and north of the country, as well as allowing interconnection with the Southern African Development Community (SADC) power transmission network. It will be carried out over a period of 24 months and is the responsibility of the state-owned company Electricidade de Moçambique (EDM).
PROCAVA aims to improve rural livelihoods, food security and resilience, critical needs given the impacts of the pandemic and climate change on the country’s most vulnerable populations.
Data released in March on the World Bank’s website indicated that loans to the country had reached an all-time high in 2023, in the order of 1.5 billion dollars, compared to 1.2 billion dollars in 2022. In 2021, the financial institution had granted the government 1.1 billion dollars and in 2020, 527 million.
