IMF approves $1 billion in funds for Angola, adds $765 million to program

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IMF approves $1 billion in funds for Angola, adds $765 million to program
President of Angola, João Lourenço

The International Monetary Fund said it had authorised an immediate $1 billion disbursement to Angola under an existing programme on Wednesday, and raised its overall access to funding by $765 million to help it contend with the coronavirus pandemic.

The decision of the IMF Executive Board was made after the conclusion of the third review of Angola’s $3.7 billion three-year program under the IMF’s Expanded Fund Facility, which was approved in December 2018.

Since two previous reviews over $1.5 billion had now been allocated.

IMF urges Angola to continue its efforts to reach a market-clearing exchange rate and pursue reforms oof two public banks, and also to be vigilant about public debt.

According to Moody’s ratings agency, Angola, Africa’s second largest oil exporter has seen its debt-to-GDP ratio blow out to 120% with more than 90% of its debt denominated in hard currency, mostly U.S. dollars.