Angolan central bank raises key interest rate

29 July 2015

Angola’s benchmark interest rate, the BNA rate, has been increased by half a percentage point to 10.25 percent, according to a statement following Monday’s meeting of the Monetary Policy Committee of the National Bank of Angola.

After examining the development of the factors that determine price behaviour, the committee also decided to increase the interest rate on the liquidity facility by half a percentage point to 11.0 percent and keep the liquidity absorption rate unchanged at 0 percent.

According to the statement, inflation over the last twelve months stood at 9.61 percent in June, up 0.74 percentage points over the previous month.

In June, credit to the economy grew 5.56 percent in cumulative terms since the beginning of the year, according to preliminary figures, and commercial banks purchased foreign currency amounting to US$2.428 billion in the foreign exchange market, of which US$2.22 billion dollars were acquired from the National Bank of Angola and the remainder from its customers.

On the primary foreign exchange market the average exchange rate in June fell by 10.04 percent against the previous month, to 121.965 kwanzas per US dollar. (macauhub/AO)