World financial crisis reduces growth of Angola’s GDP to 2 to 3 pct between 2009 and 2011

11 October 2011

Luanda, Angola, 11 Oct – The effects of the world financial crisis, which affected Angola starting in 2009, reduced the average growth rate of Angola’s Gross Domestic Product (GDP) from 17 percent in 2008 to 2 to 3 percent between 2009 and 2011, said Angola’s Economy Minister, Abraão Pio Gourgel.

Cited by Angolan news agency Angop, the minister said that the situation had occurred, despite government stimulus to economic activities, due to the dependence the country has on the oil sector, which accounted for between 45 and 50 percent of GDP, and the revenues of which account for over 75 percent of the State’s tax revenues and 98 percent of total exports.

Gourgel, who announced the figures during the and technical and scientific days of the Economy Faculty of Agostinho Neto University, said that emerging economies, the growth of which is mainly dependent on internal factors, had shown great capacity to overcome the effects of the crisis that rocked developed economies, because their anti-cyclical policies had acted upon almost all their production structures.

On making a speech about the “Impact of the diversification of the economy,” the minister noted that the main bases for the GDP growth cycle were increased competitiveness of companies and the Angolan economy, a boost to training of human resources and job creation.

Gourgel also noted that the Angolan economy’s focus on oil inhibited the use of other potential wealth generators in the economy, which could be boosted through more intense use of other natural resources in the country, such as agriculture, energy, mining exploration, construction and public works, domestic trade and a variety of activities in the services sector. (macauhub)