Portugal opens credit line for infrastructure investment in Mozambique

10 June 2009

Lisbon, Portugal, 10 June – Portugal plans to open up a credit line of 300 million euros for Mozambique to fund investments in infrastructures that involve Portuguese companies, the Portuguese Finance Ministry said in Lisbon Tuesday.

The memorandum for the credit line was signed on 5 June by Minister Fernando Teixeira dos Santos, by his Mozambican counterpart, Manuel Chang, and also by the chairmen of banks Caixa Gerald e Depósitos and BCI-Banco Comercial de Investimentos.

“The credit line is for funding infrastructure investment projects in Mozambique, with the participation of Portuguese companies, in the areas of energy, transport and communications, as well as in the health, education and training sectors,” the ministry said.

The total concession and commercial credit lines provided by Portugal currently stand at 2.5 billion euros, including countries such as Angola, Cape Verde, China, Morocco and Tunisia.

The credit line for Mozambique had been under negotiation since last year following the debt pardon by Portugal to the East African country (estimated at US$393.4 million) and the transfer of control of the Cahora Bassa Hydroelectric Dam to Maputo. (macauhub)