The lack of transparency in the processes of hiring asset managers and service providers by the Angola Sovereign Fund led to the need to restructure the organisation, and one of the steps was to replace the members of the Board of Directors, the Angolan Ministry of Finance said in a statement issued on Thursday in Luanda.
A thorough assessment of the fund’s management, asset application and corporate structure, carried out with the support of an international consulting firm, has also led to the conclusion that it is exposed to a high level of risk by the value of assets that are managed by a single outside entity as well as insufficient reporting.
“There was also a weak control and supervision of the activities of the Angola Sovereign Fund by government bodies, as well as a lack of consistent and transparent policies, strategies and investment plans,” the statement said, adding, “a review of the model of corporate governance model is needed.”
The ministry said the government should move to restructure the Fund “with a view to creating an adequate investment strategy and plan, to ensure greater transparency and control of the institution, improve oversight by State bodies, particularly the President the Republic, the Ministry of Finance, and the National Bank of Angola.”
The Ministry of Finance also announced it will set up a Supervisory Commission for the Angola Sovereign Fund to ensure more efficient and transparent management of the state’s strategic resources.
President João Lourenço, on Wednesday, dismissed the members of the Board of Directors of the Angola Sovereign Fund, hitherto chaired by José Filomeno de Sousa dos Santos, the son of former President José Eduardo dos Santos, and appointed to Carlos Alberto Lopes, a former finance minister, to head up the Sovereign Fund. (macauhub)