Moza Banco recently took part in the First Edition of the Mozambique-European Union Investment Forum, Global Gateway, a conference that discussed investment opportunities for the country, especially in terms of channeling foreign capital for Mozambique's development.

Represented by the director of Institutional and Protocols, Octávio Mutemba, the Bank discussed financing mechanisms for small and medium-sized enterprises, highlighting the importance of share capital for starting a business.

According to Octávio Mutemba, banks are looking to finance companies with projects that demonstrate financial viability and whose partners or managers are trustworthy and reliable in their business.

"Before resorting to financing, the partners of a given Startup must be aware of the need to raise a share capital that is appropriate for the start of its activities up to the stage of generating profits. The creation of adequate share capital in companies is an important source of gaining the confidence of credit institutions, investment companies and other financing agents to provide more secure support in the later phase of expanding the business of these same Startups," explained Octávio Mutemba, noting that banks cannot ignore these details because they are also concerned about the return on the loans granted.

"The establishment of a medium-term track record by micro and small businesses in generating income through capital investment injected by the partners to cover the costs of incubating the business, renting space, salaries, paying the various providers of goods and services is crucial to facilitating access to finance for micro and small businesses," he added.

The head of Institutional and Protocols also revealed that the interest rates practiced in Mozambique make banks even more cautious when it comes to lending, since they contribute significantly to assessing the profitability of the credit business.

Representatives from other banks and financial institutions took part in the panel debate, describing the national economic scenario, pointing out the problems and possible solutions for improving the business environment, promoting investment, financing companies and various other topics of national interest.

The two-day Mozambique-European Union Global Gateway Investment Forum was held in Maputo under the motto: "Together we will create business opportunities".

Moza Banco considers it of the utmost importance to discuss issues of social interest, especially those relating to financing for small and medium-sized enterprises, as it believes that these are the country's main vector for development, due to their ability to boost local economies.