in

Mozambique extends probe into government loans to April 28


Mozambique has extended until April 28 an investigation into government-owned firms that hid $2 billion in loans, state media said on Saturday.

The Mozambican Attorney-General’s Office PGR said it proposed the latest extension to allow collecting of data from banks and other institutions in Mozambique and abroad, state media reported.

Debt-ridden Mozambique, one of the world’s poorest countries, is struggling to repay the loans which were not approved by parliament or disclosed publicly.

READ MORE:  US-South joint drills begin amid North Korea tensions

In November, Mozambique’s attorney general appointed multinational risk management firm Kroll to probe state firms that hid the loans from government and international creditors, a condition for the International Monetary Fund (IMF) to resume aid talks with the war-scarred nation.

The IMF said this week it hoped the audit would conclude in the next couple of weeks and that the government would publish the results.

READ MORE:  Cash-strapped Zimbabwe needs $274 million for 2018 election

State media initially said Kroll was given until the end of February to deliver the audit report. That deadline was extended to the end of March and has now been pushed to April 28.

ALSO READ:

Institute seeks to help start-ups tap foreign investments

READ MORE:  Bodies of Swiss couple who went missing 75 years ago found

The discovery of the loans, received by state firms including Mozambique’s state-owned fishing company EMATUM, prompted the IMF to halt a loan last April and led to the collapse of its currency as well as investor confidence.

Until recently one of Africa’s strongest prospects, Mozambique now faces its biggest economic crisis since a 16-year civil war ended in 1992.

Moroccan prime minister agrees to form coalition government with five other parties

Zimbabwe opposition demand UN-conducted vote, police out in force