Angola launches public programme to facilitate credit to the economy

28 October 2014

The government of Angola has approved the Programme to Drive Credit to the Economy (Procred) to provide access to credit as a way of driving the country’s economy, according to a presidential decree published Monday.

The programme, which is directly managed by Vice President Manuel Vicente, and provides for “introduction of stimuli,” “elimination of barriers to seeking credit,” as well as “streamlining” its commercial offer, the so-called three pillars of action.

This programme involves creation of a legal and institutional framework “that facilitates the expansion of credit,” according to the same document.

Procred, which has now been approved, directly involves the Ministries of the Economy, Finance, and Justice and Human Rights, together with the National Bank of Angola (BNA).

The measures introduced by the Ministry of the Economy – which will coordinate the programme – include increased “credit credibility” of Angolan companies, by “promoting a balanced capital structure of the companies” and the development of a specific micro-credit programme.

The BNA will be charged with “strengthening the financing capacity of banks,” as well as fostering development of new loan products and increasing regulation and supervision of lending activities.

As part of Procred, the Ministry of Justice and Human Rights will also establish a central registry of guarantees, in addition to evaluating “alternative collateral to mortgages” as a way to facilitate and ensure the process of granting credit. (Macauhub / AO)