Beijing and Maputo sign cooperation agreements totaling US$230 million

9 February 2007

Maputo, Mozambique, 9 Feb – The governments of Mozambique and China Thursday in Maputo signed several cooperation agreements, valued at around US$234 million, as part of the 24-hour visit by Chinese president, Hu Jintao, to Mozambique.

The agreements included the pardon of Mozambique’s debt to China taken on in the 1980 to 2005 period, to a total of around US$20 million and the granting of a US$40 million loan by the Chinese state bank Eximbank.

Agreements were also signed for China to fund the construction of the future Mozambique National Stadium and for granting a preferential loan of an estimated US$156 million.

The two countries agreed to increase the number of Mozambican products that will benefit from tax exemption on entering China, from a current number of 192 to 442, and the category of goods to be sold to China that are free from any charge.

The construction of two technical schools in rural areas and setting up a pilot center for Chinese technology in Mozambique are also part of the package of pledges made by the two countries.

Discussions in Mozambique also led to an agreement to increase the number of Mozambican scholarship students in China.

At the Mozambican parliament, which was visited next by Hu, it was announced that China would build a village for members of parliament, which would include a residential neighborhood and a palace for Mozambique’s Republican Assembly.

The President of the Mozambican Parliament also announced that a group of parliament members would travel to China to receive training on issues related to parliamentary work. (macauhub)