IMF Executive Board Approves $487.5M loan to Angola

The Executive Board of the International Monetary Fund (IMF) on Monday has completed the fourth review of Angola’s economic program supported by an extended arrangement under the Extended Fund Facility (EFF) and have decided to approve an immediate loan of (US) $487.5 million to Angola, bringing total disbursements under the arrangement to about $3 billion.

The IMF Executive Board also approved the Angolan authorities “request for waivers of applicability, modification and no observance of some performance criteria, indicative targets, and structural benchmarks”.

The various effects of the COVID-19 pandemic continue to negatively impact Angola’s economy and population.

Oil production, prices are still weak, and the social impacts of the crisis are layered.

The expressed that despite these ongoing challenges, the Angolan authorities have demonstrated a strong commitment to sound policies under the IMF-supported-arrangement.

Robust policy responses, strong fiscal adjustments in 2020 enabling the nation to weather the crisis and mitigate their macroeconomic impact while protecting the most vulnerable

Initially approved at $3.7 billion by the IMF Executive Board on 7^th December 2018, Angola’s three-year extended arrangement aims to restore external and fiscal sustainability, improve governance, and diversify the economy to promote sustainable, private sector-led economic growth.

Hauwa Mustapha