Airline income retained in Angola expected to be resolved in July

2 July 2018

The income retained in Angola of airlines operating in the country will be fully paid off in July, said the governor of the National Bank of Angola, José de Lima Massano, in Luanda on Friday, adding the amount was less than US$100 million compared with US$540 million at the beginning of the year.

The amount retained in Angola due to the impossibility of obtaining foreign currency had fallen by more than US$100 million to US$386 million in June, but Angola was still the second country with most revenues retained, after Venezuela, with US$3.78 billion, according to statements made in Luanda by the president of the International Air Transport Association (IATA), Alexandre de Juniac.

These company funds from the sale of airfares that they are unable to repatriate in the case of Angola due to the significant economic, financial and foreign exchange crisis that the country has been going through since the end of 2014.

The situation has led Angola to accumulate debt, in the form of blocked funds – deposited in Angolan currency in the national banks and awaiting authorisation for repatriation – to a “peak” of more than US$500 million, according to IATA.

The governor of the National Bank of Angola, who was speaking at the closing session of the 8th Banking Forum, promoted by Angolan weekly newspaper Expansão, also reported that by the end of 2017 the country had about US$3 billion in delayed foreign exchange transfers. (macauhub)