World Bank announces USD75 million financing for Mozambique

The World Bank plans to donate USD50 million to improve the management system in Mozambique’s education and health sectors and also to finance development of the country’s financial sector with US$25 million, the institution has announced.
In the first case, the donation is meant to assure more transparency and efficiency in spending to supply, store and distribute medicines, and in school management, indicates the statement released in Maputo.
The financing agreement for the financial sector specifies that the organisation will provide outright half the agreed sum, or US$12.5 million, while opening a credit line for the same amount.
The aim is to strengthen regulation and oversight of the Mozambican banking system, which currently counts 18 banking institutions along with the respective security network and crisis management framework.
At the same time, the World Bank wants to streamline the markets for public sector securities and promote more expansion of financial services, whose inclusion rate stands at about 4.3 percent (900,000 people).
Mozambique currently maintains loans of US$423 million from the World Bank, indicates information posted on the organisation’s website. MDT/Macauhub