Maputo, Mozambique — The Mozambican and Danish governments Tuesday signed a memorandum of understanding in Maputo as a first step towards an agreement on the reciprocal promotion of investment between the two countries.

A release from the Mozambican Foreign ministry said the memo followed two days of technical consultations concerning on the proposed investment agreement.

The discussions centred on legal instruments to protect investments.

The release said such an instrument would provide "the necessary and internationally accepted legal framework for maximising the economic potential and comparative advantages of both countries, while strengthening cooperation ties."

The Mozambican delegation to the talks was led by Investment Promotion Centre (CPI) deputy director Mussa Usman, while Ambassador Herluf Hansen represented Denmark.