Angolan economy to grow by 2.5 times the world average in 2012

27 September 2011

Luanda, Angola, 27 Sept – In 2012 the Angolan economy is expected to grow by 10.8 percent, far above the world average (4 percent) and even the average growth expected for the group of emerging and developing economies (6.1 percent), according to the latest projections from the International Monetary Fund’s (IMF).

Cited by Angolan newspaper O País, the IMF’s World Economic Outlook report issued this week indicates that sub-Saharan Africa will post growth of 5.8 percent in 2012, and Angola is one of the countries that will post highest growth next year, which will be much higher than South Africa (3.6 percent) and Nigeria (6.6 percent).

The strong growth of the Angolan economy in a context that is expected to be affected by uncertainty, by a global slowdown and, as a result, by a significant drop in the price of raw materials, including oil, will essentially be due to “a strong recovery in oil production.”

For this year the IMF expects growth of 3.7 percent for the Angolan economy, thus lowering its previous projection and aligning it with the official estimate (3.6 percent) set by the Angolan government in June.

In its report, the IMF pointed to a clear downturn in domestic prices with the inflation rate this year standing at 15 percent and falling to 13.9 percent in 2012.

In terms of Angola’s foreign accounts, the report estimated that its Current Account Balance would be 12.9 percent of domestic product as compared to 8.9 percent of GDP in 2010, and that in 2012 it would be 7.1 percent of GDP.

In the report Angola is classified as a net creditor. (macauhub)