Mozambique requests US$130 million from China to rebuild road

6 July 2010

Maputo, Mozambique, 6 July – The government of Mozambique has asked China for US$130 million for construction of the section of road linking Manjacaze to Maxixe in the provinces of Gaza and Inhambane, a source from the Ministry for Public Works and Housing said in Maputo.

According to the source contacted by Macauhub in Maputo, the request was formally presented during the business seminar held last week in the country’s capital that brought Mozambican businesspeople together with businesspeople from the Chinese city of Yiwu.

The ministerial source noted that Chinese company China Henan International Co.(CHICO) is already working on National Road 1, which links the north and south of Mozambique, of which the Manjacaze-Maxixe section is an integral part.

On the sidelines of the seminar, the source added that China may invest over UIS$700 million in construction and repair work on several infrastructures in Mozambique, specifically roads and bridges as well as water supply and irrigation systems in several Mozambican provinces.

One of the biggest projects for which Chinese investment will be used is the Chipembe dam, in Cabo delgado province, worth US$120 million.

The Chipembe dam, according to the source from the Ministry for Public Works and Housing, has a capacity to store 25 million cubic metres of water as well as being able to irrigate 2,000 hectares of arable land, of which 1,300 hectares upstream and 710 hectares downstream.

China is one of the top ten investors in Mozambique, and its involvement in the construction sector is notable.

Chinese companies are building Mozambique’s national stadium, modernising Maputo international airport and rebuilding the water supply system of several Mozambican cities. (macauhub)