Angola increases amount of loan requested from GemCorp Capital

18 May 2015

The government of Angola will increase the amount of the loan it requested from a UK company specialising in emerging markets to US$550 million, according to a presidential order cited by Portuguese news agency Lusa.

The order approves an increase of US$300 million of the previous financing agreement with GemCorp Capital LLP, approved by an order of 5 January, then worth US$250 million.

This is one of several funding contracts that the Angolan government has set up in recent months to secure its financing needs for 2015, given the drop in oil revenues already provided for in the General State Budget (OGE).

“There is a need to strengthen the financing of several projects of public interest, which are essential to national development,” reads the first order by which the President of Angola authorised the initial agreement with GemCorp.

GemCorp Capital LLP, based in London, was founded in September 2014, aiming to secure or raise finance for public and private investment in emerging markets.

The government of Angola has been borrowing from a variety of entities in Spain, the US and Russia, as well as the World Bank in order to finance a public deficit of 7 percent of GDP estimated for this year. (macauhub/AO)