"More than 1,300 small and medium-sized businesses have closed due to covid-19 in the country"

“Mais de 1 300 pequenas e médias empresas fecharam devido ao covid-19 no país”

More than 1300 small and medium-sized businesses in Mozambique have been forced to close their doors due to the negative impact of covid-19, and thousands of workers have had their contracts suspended.

The Association of Small and Medium Enterprises argues that only the creation of a genuinely Mozambican development bank can help to recover the situation through the opening of financing lines with affordable rates. 

"[You need] A development bank, that's the only way to make it easier for small and medium enterprises to take on investment, but in the Mozambican state, the money is in the commercial banks. And we know that the bank's business is to sell money and their rates alone will not lower so much as to facilitate small and medium enterprises," said Feito Tudo Male, president of the Association of Small and Medium Enterprises, quoted by the RFI portal.

In the first wave of covid-19 in the country, about 90% of the small and medium enterprises in Mozambique were forced to close, with the Association that defends them denouncing at the time that the support was not enough.

Data from Mozambique's Ministry of Culture and Tourism indicate that the tourism sector is among the most damaged by the outbreak of covid-19 in the country.

The third wave of the pandemic in the country is being severe and in the last two weeks there have been an average of 20 deaths daily, with 1,400 new infections of the new coronavirus and over 50 hospitalizations. 

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