Amission from the International Monetary Fund (IMF), led by Mika Saito, is in Luanda until May 13 as part of the regular post-financing program review and also “to timely identify potential risks to the country’s medium-term financial viability.”
This week, the IMF mission held meetings with the Secretary of State for Planning, the Governor of the National Bank of Angola, the IMF representative in Angola, the Chairman of the General Tax Administration, the Director-General of the Public Debt Management Unit (UGD), and the Angolan technical team, which includes staff from the BNA and the Ministries of Finance and Planning.
According to Mika Saito, the mission’s objective is to assess Angola’s capacity to repay the IMF, especially in light of falling oil prices and rising sovereign spreads, which are putting significant pressure on the country’s macroeconomic conditions.
Saito emphasized that, despite the challenges faced in 2023, Angola has shown resilience, and its repayment capacity is deemed adequate, though not without risks. He added that the ongoing work is part of the Fund’s efforts to “timely identify potential risks to the country’s medium-term financial viability.”
“The macroeconomic outlook for 2025–2027 remains challenging, reflecting a less favorable international environment, modest progress in structural reforms, and a high dependency on the oil sector,” Saito stated. He also noted that inflation, driven by currency depreciation and supply-side shocks, is expected to begin a downward trend in the second half of 2025, aided by the strengthening of the monetary policy framework.
According to the Secretary of State for Finance and Treasury, Ottoniel dos Santos, “the data presented by the IMF is very close to Angola’s own projections for 2025, and more time will be needed to align the figures with the financial institution.”
The joint IMF mission will continue holding working meetings with various government departments until May 13. The goal is to monitor the sustainability of public finances, assess emerging macroeconomic risks, and deepen dialogue around the structural reforms needed for national economic stability and sustained growth, according to the Ministry of Finance.
Source: O Novo Jornal
