US$ 3.59 million ADF Grant to Enhance Food Security in Mozambique

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Women’s Entrepreneurship and Skills Development project

Tunis, 25 January 2006 – The Board of Directors of the African Development Fund on Wednesday in Tunis, approved a grant of 2.51 million Units of Account (UA*), equivalent to US$3.59 million to finance a pilot Women’s Entrepreneurship and Skills Development project to enhance food security in Mozambique.

The objective of the project is to improve household skills for reducing food insecurity levels and duration, build capacity in entrepreneurship and technical skills for food processing and at the national and provincial levels, undertake gender mainstreaming and HIV/ AIDS in the planning process. Overall, the project is expected to contribute to increased capacity for improved household food security and reduce poverty for rural women in a sustainable way.

The grant from the African Development Fund (ADF) the concessional window of the AfDB, will cover all the foreign exchange and some of the local cost requirements (training, producing guidelines, as well as procurement of office equipment and other technology) for the proposed rural entrepreneurship capacity building activities.

Brief Description of the Project's Outputs

The pilot project, which will Support 4,500 women in 8 districts in two provinces comprise two components:

-  A Rural Livelihoods Skills Promotion and Marketing Support component that will provide entrepreneurship and business management training,

Project Information Sheet

-Project Location: Manica Province: Districts of: Sussundenga, Guru,  Gondola, and Barue.

Sofala Province: Districts of Dondo, Nhamatando, Caia, and Gorongoza.

- Executing Agency: The Ministry of Women and Social Action Rua Carlos Albens 57 Maputo - Mozambique

Tel: +258-1-49 79 01

Fax: +258-1-49 17 29

-Est. Starting Date: January 2006 -Duration: 48 months -Procurement: Procurement of goods and services financed from the ADF  grant will be in accordance with the Bank's Rules and Procedures for Procurement of Goods and Works, and the Bank’s Guidelines for the use of Consultants.

technical skills training in selected agro-processing activities as well as provide support to marketing activities and private sector linkage development.

-  An Institutional Support component will provide training in project management, computer software skills, to the National Directorate for Women (DNM) office as well as the Provincial and District Ministry of Women and Social Action (MMAS) office and eight District agriculture offices. The component will also provide office automation and transportation for monitoring and evaluation at the community level.

The total project cost is estimated at UA 2.81, equivalent to US$4.02 million US dollars or MZM 80.53 billion.

The ADF grant will finance 89.4% of the costs. The Government of Mozambique will provide UA 284,100 million or 10.1% of the costs while the beneficiaries will Contribute UA 13,200 (0.5% of the total project cost)

The Bank Group operations in Mozambique started in 1977. To date, the Group’s cumulative commitments in the country stand at UA 789.51 million (about US$1.13 billion) in 86 operations.

*1UA = US $ 1.42927 as at 01 /01/06

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Felix Njoku Phone: +216 71 10 26 12
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