Angola: KPMG Angola publishes study on Angolan banking sector

21 October 2008

Luanda, Angola, 21 Oct – The rate of transfer of deposits into credits at Angola’s retail banks was 75 percent in 2007, exceeding the 43 percent rate posted in 2006, according to study on the banking sector by KPMG Angola, due to be published on 29 October.

In an interview given Monday to Angolan news agency Angop, the chief executive of KPMG Angola, Luís Folhadela said that the rate was still low compared to more developed markets, but for a country like Angola it was a high level of growth for a year, as the economy was generating credit opportunities.

Folhadela also said that credit to the economy had risen 85 percent, whilst its deposit portfolio had seen growth of some 43 percent, a notable level.

In the period, he said, at least 1,750 new jobs, for graduates and middle management, had been created, as a result of new bank branches opening across the country.

One of the facts that is reflected in the study, according to the CEO of KPMG Angola, is the reduced concentration of the banking sector, changes in position in the ranking of banks due to new operators enetering the market, “making business more competitive and aggressive.”

He noted that the Angolan banking sector still had great room for growth, as the penetration rate of banks across the country currently stood at just 6.7 percent and many companies and individuals still needed banking services.

KPMG Angola, the market leader in auditing and consulting services, was the first institution to promote a study on the Angolan financial sector, which was first published in 2005.

KPMG, which ahs been in Angola since 1996, has a staff of over 200, and is part of a consortium along with Banco Fomento Angola that is providing technical support to the Angolan stock market regulator, CMC for the creation of the stock exchange itself. (macauhub)