Angola takes on new international loan

11 November 2015

The government of Angola will take on another international loan of US$500 million from Spanish bank Santander, according to a presidential order of 9 November.

The order approves the financing framework agreement for granting a credit line to be concluded between the Republic of Angola and Banco Santander.

This loan comes one week after a successful international issue of over US$1.5 billion in Eurobonds, 10-year Angolan government bonds in foreign currency.

The Angolan government in recent months has taken on loans from the World Bank of US$450 million – plus a guarantee of US$200 million – and a new credit line from China of US$6 billion.

Loans have also been requested from France’s Société Générale, of US$500 million, Spain’s Banco Bilbao Vizcaya Argentaria (BBVA), for 500 million euros, and US bank Goldman Sachs and British fund Gemcorp Capital, each for US$250 million.

Last June Angola also took on a loan of US$123.7 million from the African Development Bank (ADB) to finance a water supply and sanitation project in Angola.

Last February an agreement was reached with South Africa’s Rand Merchant Bank (RMB), which will finance the project to rebuild two Angolan national roads (EN 180 and EN 225) with a loan of US$216 million. (macauhub/AO)