On November 27, 2017, Mitsui & Co., Ltd., through a holding company jointly owned by Mitsui and Brazilian mining company Vale S.A. ("Vale") in a 50% equity split, entered into a project finance loan agreement for the Nacala railway and port infrastructure project, which spans across Mozambique and Malawi. With this agreement, the holding company will raise USD 2.73billion.
A number of international financial institutions are participating in the project financing, including the Japan Bank for International Cooperation (JBIC), Nippon Export and Investment Insurance (NEXI), African Development Bank (AfDB) and Export Credit Insurance of South Africa Limited (ECIC). Dialogues between these financial organizations and the government of both Mozambique and Malawi will build a strong relationships needed to secure stability for this project.
At the 6th Tokyo International Conference on African Development (TICAD VI), the promotion of economic structural reform through economic diversification and industrialization was raised by the Japanese Government as an area of particular focus. The Japanese Government intends to promote investment in high-quality infrastructure from financing in collaboration with Multilateral Development Banks (MDBs) such as the African Development Bank. Mitsui will continue to contribute to the growth and development of Mozambique, Malawi, and Africa by developing related businesses based on infrastructure projects which will become foundations of these areas.
- Mitsui to participate in Coal and Rail & Port Infrastructure Business in Mozambique (Dec. 9, 2014)
- Mitsui to participate in Coal and Rail & Port Infrastructure Business in Mozambique (Sep. 30, 2016)
- Investment and engagement in Mozambique coal mines, railway and port infrastructure projects (Mar. 28, 2017)
- Opening ceremony held for the Mozambique Nacala Corridor rail and port infrastructure project (May 16, 2017)