The African Development Bank (AfDB) has approved a loan of R4.65 billion for the Brazilian mining group Vale.
This is destined for the construction of a 912 kilometre-long railroad connecting the town of Moatize, in the coal-rich Tete province, to the deepwater port of Nacala – and passing through Malawi.
It is designed to carry mineral exports, especially coal, and to develop agriculture and industry in the region through which the railroad passes.
The AfDB also recently pointed out that, in its continued support for the Nacala Corridor, it had already financed the road network between the Zambian capital of Lusaka and Nacala.
According to the Jornal O País, the bank’s loan – along with those from other financial institutions – is to secure the necessary R65.75bn in funds for this project by Vale and Mitsui (the Japanese group with a 15% stake).
