Private investment in manufacturing is critical to the balanced development of the economy and employment growth in Angola, said in Luanda the minister of Economy, cited by state newspaper Jornal de Angola.

Abrahao Gourgel also said the government was watching closely and considers promoting conditions for growth of investment without direct support from the state a priority for the country’s economic and industrial policy.

The minister said that in Angola private investment is less than 5% of GDP, which according to the World Bank, is less than the figures of between 10% and 15% in South Africa and 15% and 20% in Namibia and Botswana.

During a conference on private investment in manufacturing, Gourgel admitted that the drop in oil prices had also led to a sharp drop in the growth trend, which slowed to 3% in 2015 and had a huge impact on the main macroeconomic variables including State expenditure.

The Minister for Industry, Bernarda Martins, present at the conference, acknowledged that domestic industry was running at below installed capacity and some units are at a standstill or near standstill due to difficulties in importing raw materials and spare parts. (macauhub/AO)