Mozambique is fifth-largest recipient of funding from African Development Bank

25 March 2008

Maputo, Mozambique, 25 March – Mozambique is the fifth-biggest recipient of funding from the African Development Bank (ADB) with 4.8 percent of the total funding given out by the bank and a third of the total provided to southern Africa, according to Maputo daily newspaper, Notícias.

The paper said that agriculture and rural development (32 percent) continued to absorb most of the resources, followed by power infrastructures, water and sanitation (23 percent) and roads (12 percent).

The ADB also provides direct funding to the Mozambican state budget, with an annual contribution of US$30 million, and is part of the G19, the group of 19 partners that provides direct budgetary aid.

The newspaper said that so far two private projects have been approved, which are the heavy minerals project at Moma and the natural gas project of South African company Sasol, to the value of US$40 million and US$67.6 million, respectively.

The projects being prepared for ADB funding, include support for reducing poverty (direct budgetary aid), support for the roads sector, aid program for Mozambique Island, the Cofamosa project and the Moamba Science and Technology Park.

Mozambique joined the African Development Bank in June 1976 and has been receiving loans from the bank since 1977.

During the 42nd annual meeting of the ADB, held in Shanghai, China, in 2006, Mozambique was elected to host the 43rd Meeting of the Council of Governors of the African Development Bank and the 33rd Meeting of the African Development Fund, to be held in Maputo, between 11 and 15 May, 2008. (macauhub)