Mozambique to requests US$300 million loan from Japan

19 October 2011

Maputo, Mozambique, 19 Oct – Mozambique plans to request a loan of up to US$300 million from the Japanese government in order to carry out repairs on the port of Nacala, which 10 years ago was damaged by a cyclone, an official said Tuesday.

Speaking to financial news agency Reuters, Danilo Nala, director of the Mozambican Office for Accelerated Development Economic Areas (Gazeda), said that negotiations with the Japanese government would begin and that if they were successful repair work on the port would begin within a year.

Nala added that part of the funding may come from the Japanese private sector.

Repairs on the port, which was hit by a cyclone in 2001, will make it possible for it to return to its previous capacity of 400,000 containers per year, thus practically doubling its current capacity, Nala said. (macauhub)