Mozambique and Portugal negotiate credit lines of over US$500 million

24 July 2009

Maputo, Mozambique, 24 July – Portugal is in negotiations with Mozambique over three credit lines for over US$500 million (350 million euros), the Portuguese secretary of state for foreign affairs told news agency Lusa Thursday.

João Gomes Cravinho revealed that one of the credit lines, for US$100 million, had already been signed and that it was “subsidized credit for the activities of Portuguese companies in Mozambique, in accordance with the priorities set out by the Mozambican authorities.”

“The credit line of US$300 million is a commercial one, with risk insurance, for Portuguese businesspeople who wish to invest in Mozambique. The fundamental aim is to attract Portuguese investment in Mozambique,” added the secretary of State.

The third credit line, of US$124 million is associated with the Cahora Bassa hydroelectric dam project and “is being drawn up within the terms of regulations.”

“What we want to do is ensure the continuation or improvement of conditions for involving Portuguese businesses in Mozambique,” said Gomes Cravinho.

Gomes Cravinho said that the credit lines should be signed “within the next couple of months.”(macauhub)