“The European Parliament approved, by 488 votes in favour, 39 votes against and 108 abstentions, the first investment facilitation agreement negotiated by the EU”, announced the European institution in a statement.
The document's rapporteur, Joachim Schuster (S&D, Germany), highlighted the importance of this agreement for attracting sustainable investments, which “should contribute to improving the business climate in Angola, benefiting both foreign and national investors”.
"Measures to increase transparency and improve investment regulation in Angola, including the publication of laws and the simplification of authorization procedures, are key elements of this agreement", he stated, adding that it differs from other conventional investment agreements because “It does not aim to liberalize investments”.
“It is, rather, a commitment to intensify cooperation for sustainable economic development”, stressed the rapporteur, quoted in the European Parliament statement, considering EU support “particularly necessary in the sectors in which Angola seeks to diversify its activity beyond oil and gas”.
Therefore, in his opinion, “the EU and Angola are taking a positive step towards a future-oriented partnership".
Now, the European Council remains to give final formal approval to the agreement for its ratification by the EU to be completed.
The main elements of the agreement include the publication of all investment laws and conditions, improvements in the accountability of public bodies, the reinforcement of legal certainty in all sectors and the promotion of the use of a single information portal for investors .
They also include the simplification of investment authorization procedures, the establishment of a dialogue with civil society, the promotion of responsible business practices and the application of international agreements on labor and the environment, such as the Paris Agreement.
To put the agreement into practice, the African country, which is one of the nine Member States of the Community of Portuguese Speaking Countries (CPLP), will count on technical support from the EU.
The agreement also aims to help Angola diversify its economic model, currently based on raw materials and energy resources, and is in line with the EU's efforts to strengthen sustainable trade and investment relations with African countries, says Parliament European on the note.
The EU and Angola concluded negotiations on this agreement on November 18, 2022, but it was only signed on November 17, 2023.
According to the European Commission, Angola is the EU's sixth largest African investment destination, absorbing 7 percent of foreign direct investment on that continent. Furthermore, the EU is Angola's main trade and investment partner.
