The World Bank has granted a loan of US$50 million to Mozambique to increase access to food and improve nutrition of the population, the World Bank said in a statement.
The loan to be granted by the Association for International Development aims to promote market-based agriculture and private sector investment.
“This funding is the second in a series of three budget support operations for agriculture to finance a medium-term agricultural sector reform programme in Mozambique,” according to a World Bank statement.
In the document, the World Bank said, “the competitiveness of Mozambican agriculture has increased over the years, but the sector is largely characterised by low productivity,” and said the sector has to have more ” participation of the private sector and public investment,” and benefit from “a favourable business climate.”
“This operation aims to solve some fundamental problems of the priority policy and institutional reforms to address the constraints that the agriculture sector in Mozambique faces,” said the director of the World Bank for Mozambique, Madagascar, Mauritius, the Seychelles and the Comoros Union, Mark Lundell . (macauhub/MZ)