Government only pays hidden debts by Court decision

Mozambican PM, Carlos Agostinho do Rosário

The Mozambican PM, Carlos Agostinho do Rosário, has assured that the country has not yet paid any of the so-called "hidden debts" and will only pay them if convicted in court.

Mozambique did not pay any part of the "hidden debt", Prime Minister Carlos Agostinho do Rosário told the Mozambican press. 'The government official also assured that these debts, related to loans guaranteed to three state-owned companies worth US$ 2 billion, will only be paid if the country is legally ordered to pay them, following legal proceedings in progress, announces the e-global website.

The clarification of Carlos Agostinho do Rosário comes at a time when several Mozambican non-governmental organizations are demanding the non-payment of the so-called hidden debts, worth US$ 2 billion, the amount of three state-owned companies' borrowings.

The case is related to the ongoing investigation by the US courts into the proceeding which led to the arrest, in South Africa, of former Mozambican Finance Minister, Manuel Chang, three former bankers of Credit Suisse in London, and a Lebanese intermediary from Privinvest at the airport of New York, for alleged involvement in financial crimes amounting to US$ 2 billion regarding three borrowings secretly made in favor of Ematum, Proindicus and MAM, public companies involved in maritime safety and fisheries, between 2013 and 2014. The loans would have been used for the purchase of tuna fishing boats and shore protection systems. The mobilization of the loans was organized by the banks Credit Suisse and VTB.

The current MP of Frelimo (ruling party) has been in South Africa since December 29 when he was arrested. On Thursday, January 24, the South African court in Kempton Park, Johannesburg, postponed the decision to release Manuel Chang on bail to January 31.

According to the South African authorities, the Attorney General of the Republic of Mozambique also requested the transfer of Manuel Chang, in the context of another case.