The Mozambican Agrarian Development Fund (FDA) plans to launch an Agri-Forestry Credit Line to finance forest and fruit tree saplings as well as agri-forestry systems for small and medium-sized producers, according to a Mozambican Agriculture Ministry official.
Dânia Falcão, head of the Forestry Department told Mozambican news agency AIM that the credit line, in which each project may receive between 300,000 meticals (US$11,000) and 1 million meticals, would have an interest rate of 10 percent for current operations and 8 percent for investment.
She added that the credit line approved for this month already had three projects to fund, with a view to reforestation of several areas where logging is not being carried out sustainably.
Falcão also said that at the Agriculture Ministry 250 forest inspectors were undergoing training in areas such as land and forest legislation.
Throughout the first half of this year, the FDA invested over 20 million meticals in the forestry and wildlife sector, in activities including establishing plant nurseries in the country’s 11 provinces, acquiring means of mitigating the conflict between humans and wildlife, amongst other activities.
The FDA is a financial institution, with administrative and financial autonomy that is focused on developing Mozambique’s agricultural sector. (macauhub)