Floods in Mozambique cause losses of an estimated US$517 million

8 May 2013

Reconstruction of infrastructure destroyed by this year’s floods in Mozambique will have an estimated cost of US$517 million, the Minister for Planning and Development, Aiuba Cuereneia said in Maputo.

According to Mozambican news agency AIM, the Minister also said that of that amount, US$353 would be the public costs of reconstruction of the destroyed infrastructure and the remaining US$164 million were the needs of the private sector.

Speaking at a meeting of partners that fund the State Budget, Cuereneia noted that given the high amount of funding needed, “the country will launch a process of reconstruction to be carried out over three years.”

The floods of January and February this year affected over 478,000 people, killed 117 people and left 172,000 homeless, amongst other damage.

Last week the Bank of Mozambique announced a review of its macroeconomic projections for this year, with the Gross Domestic Product projection reduced from 8 percent to 7 percent, precisely because of the floods. (macauhub)