The Portuguese government has renewed debt moratoria for Cabo Verde, Mozambique and Sao Tome and Principe, totalling 131 million euros, in response to requests made by these countries, according to a statement issued Tuesday.
The government “authorised the maintenance of the State guarantee under the credit lines granted to Cabo Verde, Mozambique and Sao Tome and Principe, following the extension of the moratorium on payments due until 31 December 2021, in response to requests made by these countries,” according to the note issued by the Ministry of Foreign Affairs.
The measure is part of the “Debt Service Suspension Initiative” launched by the Paris Club and the G20 to mobilise all bilateral creditors, both official and private, to support the most vulnerable partner countries in responding to the health and socio-economic crisis resulting from the pandemic.
Portugal joined the initiative at its inception in May 2020, and until it ends at the end of 2021, “the moratoria granted by Portugal in response to requests received from Cabo Verde, Mozambique and Sao Tome and Principe, in the framework of bilateral loans or lines of credit guaranteed by the Portuguese state, amount to 131 million euros,” the government said.
