A mission of Sofid, a Portuguese financial credit institution, has been in Maputo since Monday to promote an investment fund for projects in Mozambique at a standstill since 2011, said one of the company’s directors.
Investimoz was created by the two countries in 2010 but of its budget of 94 million euros only 3 million are being invested in projects in Mozambique.
“There is a lot of money to apply in Portuguese companies or in Portuguese-Mozambican partnerships,” said Francisco Almeida Leite, former Secretary of State for Foreign Affairs who is in Maputo, with two other members of the board of Sofid, to promote the fund to 50 companies from both countries represented at the Tektonica construction fair, which began Tuesday in the Mozambican capital.
The director told Portuguese news agency Lusa that Investimoz had been at a standstill for four years because “it was not adjusted to the Mozambican reality,” requiring a very high minimum share capital, and being directed at projects in the renewable energy sector and that because of the very nature of the fund, focused on financing the acquisition of stakes rather than on the investment itself.
By making the fund more flexible all structural sectors of the Mozambican economy will be eligible for funding, with the exception of real estate investment, and minimum starting capital has been reduced from 250,000 euros to 150,000 euros and the funding period has been increased to nine years.
Sofid’s shareholders are the Portuguese State, with 59.99 percent, Portuguese banks Banco Comercial Português, CGD, Novo Banco and BPI, with 10 percent each and the Portuguese Association for Economic Development and Cooperation (Elo) with the remaining 0.01 percent.
Clearing Agent in Mozambique | Top Website | http://www.galclearing.com