Capital Projects, a South African firm, has announced plans to invest US$780m to fund the construction of a highway linking Mozambique’s southern province of Inhambane and South Africa as part of a strategic bid to boost tourism and trade between the two countries.
The construction of the Mapinhane-Pafuri regional road (N222), covers the provinces of Inhambane, Gaza, and Maputo, in southern Mozambique. The project is expected to kick-off in May next year and is scheduled for completion within three years.
According to Capital Projects representative, the company has US$780m available to build the 500km road, which connects Vilanculos district to the border between Mozambique and South Africa.
This funding has been obtained through a partnership between Capital Projects and China Harbor Engineering Company Ltd. (CHEC).The project for the construction of the road was launched a decade ago, and before this period, about $ 500,000 worth of feasibility study was invested.
“I want to announce that we have managed to raise this amount and we will be working with our strategic partner, the Chinese Engineering and Roads Company (CHEC) and construction work should start as early as 2018,” said Modise Khoza, Capital Projects representative.
China Harbor Engineering Company is also involved in a US$1b investment project to build a new port in Maputo province to serve Mozambique and neighbouring countries including South Africa.
