Mozambique: Loan Agreement for Lower Limpopo Irrigation

Maputo — The Mozambican government and the African Development Bank (ADB) signed a loan agreement on 8 November, under which the bank will finance the rehabilitation of the Lower Limpopo irrigation scheme in the southern province of Gaza.

The rehabilitation is budgeted at 44 million US dollars. Of this sum, 41.7 million dollars will be provided by the ADB, while the Mozambican government pays the remaining 2.3 million dollars.

The project, scheduled to last five years, covers 3,050 hectares of the Lower Limpopo irrigated perimeter, Cuereneia explained, and should benefit about 8,200 “emerging farmers” and peasant households, according to Planning and Development Minister, Aiuba Cuereneia.

The permanent secretary in the Agriculture Ministry, Daniel Clemente, told AIM that the ADB funding will help boost grain and vegetable production, thus reducing the need to rely on imports.

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