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IMF forecasts 2.6 pct economic growth for Angola

LUANDA
2024-03-12 02:27

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LUANDA, March 11 (Xinhua) -- The International Monetary Fund (IMF) has forecasted a 2.6 percent growth for the Angolan economy in 2024, while highlighting high risks due to the country's heavy reliance on oil, banking vulnerabilities and high debt levels with uncertain market access.

These findings are part of the IMF Executive Board's Article IV consultation report, which conducts an annual review of the Angolan economy, presented on Monday in Luanda, Angola's capital.

The IMF has adjusted its growth projection for Angola's economy in 2023 to 0.5 percent, influenced by a 6.1 percent decline in the oil sector and a slowdown in the non-oil sector to 2.9 percent.

The report also notes a significant rise in inflation in 2023, reaching 20 percent year-on-year by the end of December, driven by the depreciation of the local currency of Kwanza and reductions in fuel subsidies that began in June 2023.

Additionally, it said that the public debt ratio surged by 19 percent to about 84 percent of the gross domestic product in 2023, reflecting the depreciation of the Kwanza.
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