ANGOLA – African Development Bank (AfDB) is set to finance projects of two agricultural cooperatives in the municipality of Matala, Huíla province, South West of Angola with Akz 50 million (US$82,800).

This was revealed by the project manager of the ministry of economy and planning, Manuel Maia, who stated that the attribution of the credit entails guarantees of land tenure and administrative organisation of the cooperatives, reports Angola Press.

He added that the two cooperatives are functional, but there is “great” work to be done to address administrative problems and with the help of the provincial government they will be in a position to join the financing that can help to reduce imports.

After the financing, Manuel Maia said that there will be a phase of monitoring and training to enable management of resources so that the government’s objectives of diversifying the economy to increase production are achieved.

This project is part of the Production Support, Export Diversification and Import Replacement Program (PRODESI), a government initiative.

PRODESI is one of the 83 programmes of the National Development Plan (PDN) to be implemented by the government in partnership with the private sector and research institutions.

It aims to increase production of 54 domestic products prioritized by the government, mainly of the staple food and others deemed essentials and reduce imports.

Earlier in the month, three Angolan agribusiness firms received financing totalling Akz 15.4 billion (US$25.8m) from PRODESI.

The three companies which have received the funding include Valagro S.A, that undertakes bovine farming and trading of meat. The firm received Akz 250 million (US$419,000) from Banco Económico.

The second company is Noviagros – Exploração e Comércio Agricola Limitada, focused on corn and soybean production which has received Akz 11 billion (US$18.44m) from Standard Bank.

The third approved project under the government programme is Agri-Mumba Gestão P.E Industrial Limitada, carrying out livestock production receiving Akz 4.1 billion (US$6.8m) from Bank BIC.