Hidden debts in Mozambique: Why the silence about the VTB?
File photo: A Verdade
The People’s Republic of China remains Mozambique’s biggest bilateral lender for sixth consecutive year, followed by Portugal, Japan and Libya.
Funding for the construction of the Maputo-Katembe bridge, the Katembe/Belavista-Ponta de Ouro road, the Beira-Machipanda Road rehabilitation and the rehabilitation of Beira fishing port have increased Mozambique’s debt to China from US$1.8 trillion in 2017 to US$2.2 trillion on December 31, 2018.
Portugal, to which Mozambique owes about US$611 million, is the country’s second-largest creditor, while Japan occupies the third position.
According to the State General Account for 2018, Mozambique’s debt to Japan amounted to US$300 million, as a result of financing made available last year for the Combined Cycle Gas Plant in Maputo.
Other important creditors are Libya, to which Mozambique owes US$257 million, and South Korea, with US$243 million.
By Adérito CaldeiraSource: A Verdade