Mozambique’s Parliament unanimously approves crowdfunding bill
By the AFREEQUE newsroom, based on Club of Mozambique
Mozambique’s Parliament unanimously approved on 11 November the bill on collaborative financing, or crowdfunding, which regulates four types of fundraising. The government-initiated text aims to facilitate access to financing for micro, small and medium-sized enterprises, according to Club of Mozambique.
The Assembly of the Republic of Mozambique unanimously approved on Wednesday 11 November the bill establishing the legal framework for collaborative financing, or crowdfunding, according to a statement from Mozambique’s Parliament. The government presents the scheme as a solution intended in particular to facilitate access to financing for micro, small and medium-sized enterprises.
The Minister of Public Works, Housing and Water Resources Fernando Rafael, who was speaking on behalf of Finance Minister Carla Loveira, said the bill provides for four forms of collaborative financing: equity, loans, donations and rewards. The text also requires the registration of the entities concerned and provides rules on investor protection, transparency, conflicts of interest and the role of a depositary.
According to Fernando Rafael, the government believes the law should broaden access to financial resources and contribute, through equity and lending mechanisms, to Mozambique’s economic independence. Finance Minister Carla Loveira had already presented projects financed with support from the African Development Bank in August.
