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The European Commission (EC) is to make a 2.2m Euro (US $ 2.2 m) grant to NGOs addressing health care and HIV/AIDS, the Mozambican news agency AIM reported on Monday.
The funds will be used to raise community awareness of HIV/AIDS and to improve the living conditions of HIV-positive people. Money is also earmarked for existing voluntary testing and counseling initiatives.
The EC is to channel the funds through the three European agencies - Medecins Sans Frontieres (MSF), the Inter-Hospital Cooperation Council (CIC), and the German Red Cross.
The three work closely with the Mozambican Red Cross and the country's health ministry.
UNAIDS estimates that 13 percent of all Mozambican adults between the age of 15-49 years are infected with HIV/AIDS.
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