Nampula: Government working to pay off its debts to companies

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Nampula: Government working to pay off its debts to companies

11:42 CAT | 04 Dec 2017

TIM (File photo) / Nampula governor Victor Borges

Nampula province governor Victor Borges says that his executive is working to pay debts to local entrepreneurs estimated at about 700 million meticais [around US$11,658,225 at current exchange rates] for the supply of products and services.

Borges gave his guarantee is response to entrepreneurs’ concerns raised during the Sixth Provincial Business Forum, held in the city of Nampula recently.

Borges explained that it was not possible to include the debt in the provincial budget for this year because of the lack of financial resources resulting from the country’s current economic situation.

“In principle, the debt was estimated at 1.3 billion meticais, but when we did a survey we found that it was about 700 million meticais. I need to be clear here. It is not our will that our business people go bankrupt, so an effort is being developed so that by next year the debt will be paid,” he said.

Nampula Provincial Business Council chairman Yunus Gafar told journalists that the lack of payment was a problem that necessarily affected business people in the province, but acknowledged the efforts being made both by the Nampula provincial government and by the entrepreneurs themselves to find a solution that would not leave them bankrupt, hampering development economic and social development of the region.

However, several concerns were expressed at the meeting convened to discuss the constraints and business environment in the province of Nampula, among them the marked degradation of the road network, making it difficult to carry out any commercial activities, particularly in rural areas; the lack of coordination between the private and public sectors in the implementation of certain activities; problems in the issuing of clearance certificates for construction companies; corruption , bureaucracy and difficult access to finance among others.

Speaking at the end of the forum, the provincial governor emphasised the need for the private business sector, government and civil society to work together in promoting sustainable, inclusive and accelerated development in Nampula province.

Source: Notícias