Banking syndicate opens up credit line for Angolan government

25 October 2007

Luanda, Angola, 25 Oct – A syndicate of Portuguese and Angolan banks has opened up a credit line worth US$3.5 billion for the Angolan government, the Angolan press reported.

Banco Africano de Investimento (BAI), which is partially owned by state oil company Sonangol, will be responsible for handing over the first tranche of US$400 million of a total US$1 billion the Angolan government will receive in November.

Banco Fomento Angola (BFA), the country’s largest bank, which is owned by Portuguese bank BPI and Banco Espírito Santo Angola, controlled by Portugal’s Banco Espírito Santo, will contribute US$200 million each.

The funds have an amortization period of five years and an interest rate of between 3.25 and 3.75 percentage points on Libor (London Interbank Offered Rate). (macauhub)