Japan supports SMEs in Mozambique through ADB

17 November 2014

The African Development Bank (AfDB) has granted funding of US$9 million to support small and medium enterprises in Mozambique under a credit line to be managed by Moza Banco, the Mozambican press reported.

The agreement was signed Friday in Maputo by the African Development Bank (ADB) resident representative in Mozambique, Joseph Ribeiro and Chief Executive of Moza Banco, Ibrahimo Ibrahimo in the presence of the Ambassador of Japan, the country that provided that amount to the ADB.

Japan, a country that provides funding to the ADB, has a programme with the ADB to support SME development in Africa, and the credit line to support SMEs in Mozambique is part of this programme.

Ibrahimo Ibrahimo said at the time that the development of Mozambique inevitably requires support for small and medium-sized domestic companies and that this goal involves strengthening their financial capacity.

The ADB representative in Mozambique, Joseph Ribeiro said that small and medium-sized domestic companies are struggling with a lack of funding for their growth and added that Mozambique’s economy was growing so fast that SMEs face significant challenges with responding to this. (macauhub/MZ)