Washington, DC - On Thursday, UN Secretary General Antonio Guterres called for more relief aid to be sent to disaster-recovering Mozambique. The country is reeling from two devastating cyclones and wrestling with debts that Mozambique's high court calls illegal.
“The International community needs to deliver rebuilding aid to Mozambique," noted UN finance expert and head of the religious development group Jubilee USA, Eric LeCompte. "Debts declared illegal by Mozambique's courts should not be repaid, especially as the country is struggling to recover."
The top court of Mozambique declared last month that the 0 million Eurobond to Ematum, the state-run tuna operation, is illegal. In 2016, the International Monetary Fund ceased funding for the East-African country because of billions of dollars in debt that was supposed to equip fishing boats, but instead created Mozambique military attack crafts.
“Mozambique desperately needs debt and disaster relief,” said LeCompte. “Mozambique is a troubling tale of corruption and poor people being exploited because of a lack of public budget transparency and international standards on responsible lending," said LeCompte.