World Bank announces support for Angola’s 2015 state budget

3 December 2014

The World Bank is preparing a plan worth US$1 billion to support projects in Angola linked to the water resources and agriculture sectors, the World Bank’s director for Angola said Tuesday in Luanda.

Gregor Binkert made the announcement during a press conference to announce the World Bank’s support to the State Budget for 2015, in order to diversify Angola’s economy and, in this way, “create more jobs and reduce hunger and poverty in the country.”

Binkert, who has been in Angola since 23 November along with EU technical staff, has already had several meetings with Angolan officials to discuss, amongst other things, issues related to the aid that will be provided. Aid is due to be discussed nu the World Bank’s Board of Directors in 2015.

At the conference, the World Bank Director for Angola warned the Angolan government to “be more careful” with borrowing, despite public debt remaining low and to ensure “quality expenditure.”

Binkert noted that low oil prices may force the Angolan government to review the budget for 2015, and to “cut some expenses.”

Angolan state debt will reach in 2015, according to Finance Ministry projection, will total US$48.3 billion, or 35.5 percent of gross domestic product (GDP) between foreign debt (24.5 percent) and debt taken on in the domestic market (11 percent). (macauhub/AO)