IMF grants Mozambique $118m relief

The International Monetary Fund (IMF) is set to give Mozambique a $118.2 million loan to rebuild its infrastructure after the devastation of cyclone Idai, the lender announced on Friday.

According to the fund’s executive board, the loan will provide financial assistance “to address large budgetary and external financing gaps”.

Mozambique has, however, stated that it required $337 million for its humanitarian response plan.

The IMF contribution only accounts for 23% of the funds needed.

The World Bank has estimated the total recovery cost at $2 billion.

More than 1 000 people in Mozambique, Zimbabwe and Malawi were killed by what was described as “the worst cyclone in decades”.

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