Agreement between Mozambique and India for construction of training centres postponed for legal reasons

14 January 2011

Maputo, Mozambique, 14 Jan – The signing of an agreement between the governments of Mozambique and India was postponed “for a week,” due to legal issues on the Indian side,” the Mozambican deputy minister for mining resources, Abdul Razak Noormahomed said Thursday in Maputo.

The official announcement of Indian funding of US$40 million was made Monday during a meeting with Mozambique’s Mining Resources, Esperança Bias.

The agreement covers construction of the Mozambican Institute for Planning and Organisation and the Regional Institute of the Southern African Development Community (SADC) both focused on the coal sector, and was due to have been signed by Tuesday, the last day of a visit to Mozambique by Indian coal minister, Sriprakash Jaiswal.

“In the discussions (between the two governments) we had no problem but the Indian site ended up not getting a response from its Foreign Ministry (to which the agreement had been submitted) before they left Mozambique,” Abdul Razak told Portuguese news agency Lusa.

However, the deputy minister said, “everything is in line for it to be signed soon,” in “a week, ten days.”

In terms of interest shown by India in negotiating with Mozambique for the concession of more coal reserves, Abdul Razak noted the need to launch a public tender, as required by Mozambique’s mining sector legislation. (macauhub)