Mozambique’s foreign debt totals US$5.2 billion in August 2007

24 September 2007

Maputo, Mozambique, 24 Sept – The public and private foreign debt of Mozambique at the end of August totaled US$5.2 billion, which was a fall of US$1.5 billion against the same period of 2006, the Bank of Mozambique said in Maputo Friday.

The director and spokesman for the bank, Waldemar de Sousa, noted that the fall in foreign debt was mainly due to central administration, whose level of debt fell by 20 percent as the private sector increased its debt by 11 percent.

Sousa noted donations by some international creditors such as the World Bank which, via the International Development Agency (IDA), handed over US$60.7 million within the scope of the Program for Reduction of Absolute Poverty.

“As well as this, the IDA provided additional resources totalling US$49.9 million, with US$29.3 million for road and bridge reconstruction projects, projects for improving higher education and electricity supply to urban and rural areas, and US$20.6 million for restructuring ports and railways, as well as urban sanitation,” he said.

The African Development Bank (ADB) has provided the country with a total of US$21.6 million for development projects.

The Organization of the Petroleum Exporting Countries (OPEC) also provided around US$5 million, which was mainly used for irrigation and road projects.

The Arab Bank for Economic Development of Africa (BADEA) provided Mozambique with US$4.3 million for power and telecommunications projects in the north and center of the country. (macauhub)