AfDB approves U$55 million loan for Mozambique's Nacala port
22 January 2014
The African Development Bank (AfDB) has approved a U455-million loan to fund the rehabilitation of Mozambique's strategic Nacala port in the northern province of Nampula, APA learns here on Tuesday.
The agreement formalizing the deal was signed in Maputo late on Monday by Mozambique's Planning and Development Minister Aiuba Cuereneia and AfDB country representative for Mozambique, Joseph Ribeiro.
According to state-run Radio Mozambique, the funds will be used to hire a consultant for the preparation of projects for rehabilitation of the corridor and the subsequent launch of a public tender to select a contractor to carry out the work.
It is anticipated that these procedures will be carried out quickly to allow the rehabilitation to start by the end of 2014.
Cuereneia said the rehabilitation is crucial to improving the road linking the provinces of Nampula and Niassa.
Nacala port is an important entry point for landlocked southern African countries such as Zambia and Malawi and the rehabilitation is expected to decongest the ports of Dar es Salaam in Tanzania and Mombasa in Kenya that are used as alternative entry points.