The German Embassy in Maputo has announced a financial support initiative led by German Cooperation, facilitated through the development bank KfW. The initiative aims to launch the FINOVA financing program soon.
This credit program is designed to boost agriculture in the country by offering subsidized loans for working capital and investments, with interest rates of up to 10% annually, as noted in the statement.
The document further outlines that the program will also include climate insurance and specialized consultancy to enhance the resilience of producers.
“FINOVA is a unique opportunity to finance the future of Mozambican agriculture in an inclusive and sustainable way,” the statement concludes.
In 2024, the German government has committed 90 million euros for new development projects in Mozambique, with 10 million euros allocated for a climate partnership.
“Following the German-Mozambican intergovernmental negotiations in Berlin on June 19 and 20, 2024, it was agreed to continue and deepen the successful cooperation,” stated the German Embassy in Maputo at the time.
As a result, the German government pledged a total of 90 million euros for new development projects, with 10 million euros earmarked for the climate partnership framework.
