Angola National Bank reduces base interest rate to 9.25 pct

26 November 2013

The Bank of Angola has reduced the base interest rate, the BNA rate, by 50 basis points to 9.25 percent, and its permanent loan liquidity facility rate by 75 basis points to 10.25 percent, the Angolan central bank said in a statement issued Monday.

In the statement, the Monetary Policy Committee of the Angolan central bank cited the “downward trajectory of the rate of inflation,” and “the prospect of that trend continuing,” to explain the decisions as well as announcing that it had kept the liquidity absorption rate at 0.75 percent.

At the end of October the rate of inflation stood at 8.38 percent, which was the lowest level since December 2011.

In the statement, the central bank said interest rates on loans in Angolan currency had fallen for all maturities, falling from 14.09 percent to an average of 13.79 percent per year.

In October, the average rate of exchange for the kwanza against the US dollar was 97.27 kwanzas at the end of the month, which was a 0.38 percent rise against September. (macauhub)