Angola’s currency continues to lose value against the euro and the dollar

17 January 2018

The Angolan currency depreciated further against the euro and the dollar on Tuesday when the National Bank of Angola held its second auction for the sale of 82.6 million euros under the new floating exchange rate system, the central bank said.

The euros on sale were fully absorbed by the commercial banks and a weighted average of 248.77 kwanzas per euro was calculated.

The dollar was listed at an average rate of 203.138 kwanzas, according to information from the Angolan central bank.

According to the National Bank of Angola, the kwanza lost more than 11% of its value against the US dollar and more than 12% against the euro after this second foreign currency auction.

In the first auction held on 9 January, following the introduction of the new floating exchange rate system, each dollar, which in the fixed system cost 167 kwanzas, went up to 185 kwanzas, while each euro increased from 187 kwanzas to 221.26 kwanzas.

The floating exchange rate system was introduced as part of monetary and exchange rate measures of the central bank, taking into consideration the Macroeconomic Stabilisation Programme for 2018, a management tool intended to restore the stability and sustainability of the Angolan economy. (macauhub)