The United Nations High Commissioner for Refugees (UNHCR) announced Thursday that the African Development Bank (ADB) will donate 1.4 million euros to refugees and displaced people in northern Mozambique.

A note from UNHCR avers that the amount will help in the implementation of targeted projects to boost private sector involvement in improving inclusion in market systems and entrepreneurship, through training and support for business development and access to financial services.

"The beneficiaries of the project are refugees, asylum seekers, displaced people and their host communities, in the provinces of Nampula and Cabo Delgado, particularly women and young people," RTP writes, citing the note.

For the UNHCR representative in Mozambique, Samuel Chakwera, the initiative is a basis for identifying business solutions for the target population.

For his part, the ADB Resident Representative in Mozambique, Cesar A. Mba Abogo, defended the creation of this type of initiative that favors the direct involvement of the private sector and the population.

"Private sector involvement plays an important role in economic recovery and in addressing and sustaining factors of fragility and resilience," Abogo said.

UNHCR figures state that Mozambique is home to 28,000 refugees and asylum seekers and more than 735,000 people displaced by armed violence in the province of Cabo Delgado, while the Mozambican authorities speak of 859,000 displaced people.

Cabo Delgado province is rich in natural gas, but has been terrorized since 2017 by armed rebels, with some attacks claimed by the extremist group Islamic State.

The conflict has claimed more than 3,100 lives, according to the ACLED conflict registration project.