José de Lima Massano, who was the guest of the 2nd edition of "Conversas Economia 100 Makas" this Wednesday, with the theme "Where is the Angolan Economy and Where is it Going", said that subsidies for fuel, electricity and water are unsustainable.
According to the minister, the current values "are in fact very high", in addition to not benefiting "those who need it most", combined with the problem of fuel smuggling.
"The subsidies are so high that they weaken the stability of our public accounts," said José de Lima Massano, highlighting that, for this year, the amount expected to subsidize fuel is almost the same as for the execution of 1400 projects.
According to the Minister for Economic Coordination, the executive branch has around 3000 projects in its portfolio and 1400 under execution, but, due to financial difficulties, it was necessary to "review priorities", putting on "stand by" around 500 projects, which were already being executed and were underway".
"But we had to pause these projects to ensure stability in our public finances," he stressed.
Progressively, the governor reinforced, "it is a path that will continue."
"We need to have this correction and be able to allocate these resources to those sectors that need it, to more quickly address the vulnerabilities that we are still experiencing and also help in the more harmonious development of our country," he stressed.
Last month, the price per liter of diesel increased by 50 percent to 300 kwanzas, equaling the price of gasoline.
Fuels in Angola are subsidized by the State, which took the political decision to gradually withdraw this subsidy, following the recommendations of the International Monetary Fund (IMF), which has been happening since 2023.
