IMF positive about restructuring of Angola’s BPC bank

29 March 2017

The restructuring and recapitalisation plan of Angolan bank Banco de Poupança e Crédito (BPC) has received a positive assessment by the International Monetary Fund (IMF), according to statements by the Head of Mission Ricardo Velloso, on Tuesday in Luanda.

Velloso noted at the end of a meeting with members of the 5th Commission of Economy and Finance of the National Assembly, the Angolan parliament, that BPC is an “important bank” in the country’s financial system and “should contribute to the development of Angola,” according to Angolan state news agency Angop.

Shareholders of the publicly-owned bank met in a general meeting last Friday, having appointed new governing bodies and approved a capital increase totalling 90 billion kwanzas.

The IMF mission gathered some suggestions and issues that can be developed over the coming months to prepare for the annual consultations under Article IV, such as the development of an insurance and pensions market, which could serve as additional sources of financing.

Referring specifically to the economic reality of Angola, Velloso said that the situation is not much different from the information included in the latest report on the country, published this year.

The report released in February showed, among other points, that Angola had suffered an external shock due to the reduction in the price of oil and that the country’s adjustment to this new situation was a very big challenge in terms of tax reform. (macauhub)