IDB and BADEA banks provide loans to fund projects in Mozambique

28 June 2011

Maputo, Mozambique, 28 June – The Islamic Development Bank (IDB) and the Arab Bank for Economic Development of Africa (BADEA) are to provide loans to Mozambique worth a total of US$30.8 million the Finance Ministry said in a statement issued Monday in Maputo.

The documents for two loans and a donation will be signed this week by the Mozambican Finance –minister, Manuel Chang, on the sidelines of the 37th annual meeting of the IDB, in Jeddah, Saudi Arabia.

In the statement the ministry said that the IDB would provide a loan of US$11.9 million for a project for water supply and sanitation in the provinces of Cabo Delgado and Gaza, in the north and south of the country, respectively, and donate US$312,500 to restructure the National Cotton Institute.

BADEA, in its turn, will provide a loan of US$10 million for construction and equipping of two schools and technical institutes in Cabo Delgado and Niassa provinces, in the north of Mozambique.

The statement also said that an agreement would be signed for construction of agricultural institutes in Gaza (south) and Manica (centre), worth US$9 million.

Mozambique became a member of the Islamic Development Bank in 1995. (macauhub)