Angola takes on financing at over 18 pct per year

10 May 2016

The Angolan State continued to finance itself at an interest rate of over 18 percent a year, according to a report on monetary and foreign exchange markets published Monday in Luanda by the National Bank of Angola (BNA).

BNA, as the State operator, in the week of 3/6 May placed 44.3 billion kwanzas (US$265.7 million) in treasury bills with maturities of 91, 182 and 364 days.

The data released show that for the 91-day maturity there was a reduction of 0.02 percentage points in the interest rate to 14.87 percent, in the maturities of 182 and 364 days there were increases of 0.12 and 0.17 percentage points to 17.17 percent and 18.22 percent, respectively.

The central bank also placed 19.5 billion kwanzas in treasury bonds in maturities of 2, 3 and 5 years and the interest rates accepted were 7.00 percent, 7.25 percent and 7.75 percent, respectively.

In the currency market, the BNA sold US$1.9 million and US$2.0 million, which will pay for the foreign operations of Angolan state airline Taag and Angolan Public Television.

The average benchmark exchange rate for the sale of US dollars at the end of the week was 166.707 kwanzas and for the euro was 186.261 kwanzas. (macauhub/AO)