Angola: Access to credit has become easier, governor of central bank says

21 January 2008

Luanda, Angola, 21 Jan – Access to bank credit in Angola is now much easier, because the relationship between customers and banks has changed, the governor of the National Bank of Angola, Amadeu Maurício said in Luanda Friday.

This change in access to credit to businesspeople and individuals, he said, was one the one hand due to aggressive competition between banks that operate in the Angolan market, who have made loan conditions easier to fulfil and less bureaucratic, and on the other, to the fact that financial institutions had got to know their customers better.

According to Maurício, who was speaking on the sidelines of the ceremony for formal recognition of the Concession Agreement of Restricted Scope signed between the Angola National Bank and the United States’ government Agency for International Development (USAID), it is fundamental for banks that their customers are able to repay their debts.

The governor also said that the central bank would create a database to be used by local banks.

In order to set up the risk database technicians from the World Bank recently visited Angola and the first action carried out was to diagnose the institutional reality of the country’s banking sector.

The agreement signed between the central bank and USAID is worth US$1.25 million and aims to promote the expansion of the financial sector, particularly the banking sector, as well as making access to credit easier. The financial agreement is the first of its kind signed between Angola and the US.

The funding from USAID serves to pay part of the expanses linked to the project for banking sector reform, in order to set up an institutional framework to make it easier to access credit. (macauhub)