Mozambique and Korea signed a cooperation agreement under which Seoul will disburse $700,000 earlier on this week to fund water supply system in the country.
The town of Xai-Xai, capital of the southern province of Gaza will profit from this.
General Manager of Water Supply Investment and Assets Fund (FIPAG) Pedro Paulino, and President of the Korea Environmental Industry and Technology Institute (KEITI) Nam Kwang Hee signed the agreement.
The funds will also be used to finance feasibility studies for the towns of Nampula and Lichinga.
These towns are the capitals of the northern provinces of Nampula and Niassa, respectively.
The funds will be used to finance water demand studies. This is inclusive of qualitative and quantitative research of water resources as well as social and environmental impact assessment.
The research will help in the identification of alternatives, financial and economic analysis. In the long run, all this will help find a Master Plan for the next 20 years.
Head of Planning and Cooperation Directorate in the Ministry of Public Works, Housing and Water Resources, Umberto Gueuze spoke in favor of the move. He said that the investment will contribute for the identification of the necessary interventions. This will help to increase the number of water supply infrastructures in order to meet the demand.
The results of those studies will be used to plan and mobilize investments funds for the expansion of water supply systems. That is including infrastructures for water abstraction, transport, storage and distribution.
The coverage for the town of Nampula is estimated at 50% for a population of 627,000 inhabitants, while in Lichinga coverage is about 21 per cent for 209,000 inhabitants.