World Bank loans US$80 million to Mozambique

8 February 2010

Washington, USA, 8 Feb – The World Bank has approved a US$80 million dollar loan to Mozambique to help implement the government’s programme for energy access and development.

The loan approved last Thursday is to be granted via the International Development Association and will mature in 40 years, with a 10-year grace period.

The programme’s main goal is to increase sustainable access to electric power and modern energy services in areas around cities and in rural areas.

Information provided by the World Bank’s delegation in Maputo indicates that the credit will help the Mozambican government increase access based on the national transmission system and improve confidence in the supply of electricity services to areas around cities.

This project is described as a mainstay of the government’s new strategy for the energy sector, along with the 2nd Poverty Reduction Action Plan, and furthers other World Bank projects such as the current Energy Access Reform Project and the Mozambique-Malawi Interconnection Project, as well as the Transmission Interconnection Regional Project now under preparation. (macauhub)