The UN Economic Commission for Africa (ECA) has established three work streams aimed at supporting Angola on its sustainable development trajectory and macroeconomic reform agenda, following the accession to power of President João Lourenço in September 2017, ECA said on Monday in a statement.
ECA’s support after a series of high-level talks with Angolan authorities at the Presidential palace where four main areas of cooperation were agreed.
These include: supporting Angola restore macroeconomic stability and diversify its economy within the context of the country’s National Development Plan 2018-2022, improving public debt management, increasing the share of renewable energy in the country’s energy mix and capitalizing on the opportunities of the African Continental Free Trade Area (AfCFTA).
President João Lourenço’s reform agenda comprises a series of measures to render Angola’s economy more diversified and less oil dependent – including a demarche to restructure inefficient state corporations, strengthen the country’s fiscal sustainability, reduce inflation, improve overall macroeconomic fundamentals, foster social inclusion, stem corruption and improve the business environment to stimulate foreign and local investments.
ECA’s Vera Songwe therefore congratulated the Angolan President for the bold reform measures and progress achieved so far, which if sustained, could cement Angola’s position as a leading economy in Africa.
“ECA is ready to work with you in your efforts to improve domestic resource mobilization, debt management and crowding in the private sector,” Ms. Songwe assured President João Lourenço.
“We hope that Angola will be part of the community of African nations which would have ratified the AfCFTA when we meet in Niamey, next July”, she added.
Analysts have estimated Angola’s public debt burden to be as high as 60% of its GDP.
Ms. Songwe suggested to Angolan authorities to embrace the digital economy, including Fintech as a means to explore the creative potential of the youth and generate jobs in the service and other sectors.
In a discussion with Angola’s Minister of Trade, Jofre Van-Dúnem Júnior, ECA’s Executive Secretary was elated to learn that the country plans to ratify the AfCFTA agreement before the African Union Summit in Niamey – Niger, next July.
She noted that the continental trade agreement was an investment opportunity for Angola to build a diversified and competitive economy and that Angola should use it as an opportunity to fast-track its horizontal and vertical economic diversification program.
Accordingly, ECA will work with Angola to formulate national AfCFTA strategies.
MG/as/APA