Envoy says Mozambique will need Chinese debt relief

13 July 2020

Mozambique will need Chinese help to repair the damage done to its economy by the Covid-19 pandemic, including the cancellation, suspension or renegotiation of debt payments, the China Daily reports, citing Mozambican Ambassador to China Maria Gustava.

The Chinese state-run newspaper quotes Ms Gustava as saying Mozambique is eager for grants of money, financing on easy terms and food aid from China.

Ms Gustava said she believed there were new windows of opportunity for Sino-Mozambican economic engagement, even though the pandemic had curbed trade and flows of investment.

The ambassador would like to see more Chinese investment in Mozambique to exploit the wealth of various natural resources and the abundance of labour there, the report says.

The Chinese Belt and Road initiative can help improve transport infrastructure in southern Africa, and so spur the development of the Mozambican economy, the China Daily quotes Ms Gustava as saying.

(Source) Permanent Secretariat to the Forum for Economic and Trade Co-operation between China and Portuguese-speaking Countries (Macao):