Angolan economy maintains robust performance – Finance Ministry

28 August 2012

Angola’s economy is still robust, a situation noteworthy amid the ongoing international uncertainty about the solution for the sovereign debt crisis affecting richer and more developed countries, indicates a statement recently released by the Angolan Finance Ministry.

Reproduced in the Angolan press, the statements are based on evaluations by international risk grading agencies such as Fitch Ratings, Standard & Poor’s and Moody’s, as well as by the International Monetary Fund, which early in the month released a positive assessment of Angola’s economic performance.

“For that reason, the international agencies which in the last 12 months have lowered the ratings of various European countries decided to keep Angola’s sovereign credit risk rating at ‘BB’ in the cases of Fitch Ratings and Standard & Poor’s, raising prospects from stable to positive, and at ‘Ba3’ in the case of Moody’s,” the document states.

The Finance Ministry indicates that this is due to the strengthening of internal and external accounts and prospects of strong growth in Angola, which should eventually enable an improvement of the ratings assigned by international agencies and entry into the group of countries whose debt is classified with the designation “with quality for investment”.

The statement presents the arguments used by credit rating agencies. For example, Moody’s highlighted the prospects of strong economic growth sustained by the gradual expansion of oil production, which in 2012 should surpass 2 million barrels per day.

An International Monetary Fund statement released at the beginning of the month indicated that the Stabilisation Programme undertaken by the Angolan government had achieved its main goals and that Angola has resolved the problem of overdue debt and made significant progress in terms of fiscal transparency and rendering of accounts. (macauhub)