Angolan economy to expand 6.5 pct and Mozambique 5.5 pct in 2010

21 January 2010

Washington, United States, 21 Jan – The Angolan economy is expected to post growth of 6.5 percent in 2010 and 8.0 percent in 2011, according to projections from the World Bank issued Wednesday.

The recovery of the Angolan economy will be one of the most dynamic in Sub-Saharan Africa after the estimated contraction of 0.9 percent in 2009.

Last year, “the Angolan economy had a weak performance, with oil exports falling to below 1.8 million barrels per day, the fall of oil revenues leading the Government to make expenditure cuts and private spending contracting,” said the World bank in its report.

For the recovery, Angola is likely to be able to count on a rise in foreign demand, as well as a recovery in remittances, as will other countries in the region.

For other Portuguese-speaking countries, the World Bank’s projections also show significant growth, following the slowdowns seen in 2009.

Mozambique, “with strong growth in the agricultural sector” is noteworthy for having managed last year to contain the effects of the crisis, managing to post economic growth of 5 percent.

Mozambique’s return to an upward growth trend is, however, slow, with 5.5 percent growth forecast for 2010 and 5.7 percent for 2011, which is still far from the 6.8 percent posted in 2008 and 7.0 percent in 2007.

Cape Verde, according to the world Bank’s projections, saw a slowdown in growth to 3.3 percent in 2009 (compared to 5.9 percent the previous year) and is due to recover to 4.4 percent growth this year rising to 5.4 percent in 2011.

Prospects for Guinea Bissau are of 3.4 percent GDP growth this year and the same for 2011, after a slowdown from 2.9 percent in 2008 to 2.1 percent in 2009. (macauhub)