The Deputy Minister of Economy and Finance, Amílcar Tivane, said that the proposal for the management contract for the Mozambique Sovereign Fund had already been finalized and should be submitted to the Council of Ministers in the next few days for approval and subsequent signing by the Bank of Mozambique and the government..

"The proposals are practically closed and the management agreement will be signed soon," said Amílcar Tivane, in a publication in the newspaper Newswithout, however, giving exact dates.

According to the government official, the conclusion a few days ago of the selection of the nine members of the Supervisory Board was an important step towards the conclusion of the contracts.

The deputy minister explained that, in addition to the signing of the management agreement and the definition of the investment policy, the full operation of the Sovereign Fund is dependent on the selection of the members of the Advisory Board.

It should be noted that although the law approved by Parliament refers to the powers of the manager, the management contract will have details on the role of the administrator of this account.

This contract will include, for example, details of the operational manager's mandate, role, powers and investment policies.

The provision will also guide the models to be followed for rendering accounts, investment processes, deadlines to be met and the hiring of internal managers.

It is planned that in the first 15 years of the implementation of the law 60% of the revenues from the exploitation of natural resources, with a focus on gas, will be transferred to the state budget and 40% the fund.

Projections indicate that annual gas exports could amount to 91.7 billion dollars over the life of the projects, in a context where annual revenues for the state could reach six billion dollars by the 2040s.

(Photo DR)