Mozambique: US$88.7M loan from Exim Bank of Korea – for public security enhancement | Carta

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Mozambique: US$88.7M loan from Exim Bank of Korea – for public security enhancement | Carta
Mozambique: US$88.7M loan from Exim Bank of Korea – for public security enhancement | Carta

Africa-PressMozambique. Mozambique is to get closed circuit television (CCTV) to guarantee public order and security and control violations of the traffic code. The government also intends to establish an Automated Fingerprint Identification System (AFIS) for criminal investigations, including concomitant collection and storage capabilities.

The project is the result of a loan to the Mozambican government of US$88,705,000 from the Exim Bank of South Korea, aimed at strengthening the Ministry of Interior and PRM’s ability to maintain public order and security.

The project will be implemented over a period of four years, until December 31, 2025.

Under the initiative, a Central Operations Room in Maputo city will be built from scratch, with further operating rooms in Nampula and the municipal districts of Angoche, Erati, Ilha de Moçambique, Malema, Monapo, Murrupula and Nacala-Porto.

A further component concerns communications between the Central Operations Room and satellite facilities in Maputo, Matola and Nampula and the implementation of radio and data networks using wireless technology in Maputo and Nampula.

The agreement with the Exim Bank of South Korea was ratified by the Council of Ministers session on 21 September, 2021.

Mozambican government will provide USD 7,899,000

After the announcement of the credit agreement, the Ministry of Economy and Finance (MEF) went public to counter information circulating on social networks to the effect that the debt had been contracted without the knowledge of the Assembly of the Republic and outside the limits established by the Budget Law of 2021.

The MEF asserts that the State Budget Law of 2021 sets the conditions for the government to contract external loans, allowing it to borrow externally with a minimum concessional element of not less than 28% for economically viable infrastructure projects. In this case, the concessional component is 73.74%.

The MEF adds that it was based on this competence that the concessional credit in favour of the Ministry of the Interior was contracted, its ratification by the Council of Ministers being part of the procedure provided for in SISTAFE law 4/20 and in the respective decree, which aims to enhance transparency in the management of public finances.

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