The African Development Bank (AfDB) has approved a $47 million grant for the first phase of the development of the Special Agro-Industrial Processing Zone in the northern province of Niassa.

This is a fund that aims to support strategies to improve agricultural productivity and the development of agribusiness in Niassa province, says a press release from the ADB quoted by Lusa.

"This initiative is in line with Mozambique's National Development Strategy [ENDE] 2015-2035, which aims to improve the living conditions of the population through the structural transformation of the economy and the expansion and diversification of the production base," the statement said.

The amount will serve to strengthen the institutional capacity and business environment for agro-industrial development, as well as the development of the agricultural value chain in the province.

The ADB statement adds that the project will build on a long list of Bank interventions in the north of the country to provide infrastructure and will unlock, from Niassa, the agricultural potential of the Nacala corridor.