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US pledges $1.2-billion aid for Mozambique

US pledges $1.2-billion aid for Mozambique

Photo by Duane Daws

14th December 2015

By: Reuters

  

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The US will grant Mozambique $1.2-billion in aid to fund projects in healthcare, food production and education under a five-year agreement signed this week.

The money would also be used to improve governance and deepen democracy, a statement posted on the Mozambican government website said.

Growth in the Mozambican economy is expected to slow to 6.5% this year, from 7.5% in last year as investors delay initiating investments in the recently discovered gas reserves.

Mozambique, one of the world's poorest countries, discovered the reserves off its coast between 2010 and 2013, offering an opportunity to transform the former Portuguese colony, which was ravaged by a 16-year civil war that ended in 1992.

Edited by Reuters

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