"Angola's economic prospects remain weak, with the recession expected to continue for the fifth consecutive year in 2020", reads the analysis that the experts from the analysis unit of the British economic magazine The Economist do to the second largest oil producer in sub-Saharan Africa.
In the text, sent to customers and to which Lusa had access, EIU analysts write that they anticipate a recession of 4.1 percent this year and a return to growth, albeit slight, next year, which they estimate to be 0 , 1 percent.
"Oil exports will continue to fall, while the flow of investments will continue to be weak, as the price of oil remains low," they say, adding that between 2022 and 2024 the forecast points to an average growth of 4.3 percent, "driven by a recovery in agriculture, mines, construction, manufacturing and services".
Oil production, estimates the EIU, stood at 1.39 million barrels per day, below the limit agreed with the Organization of Petroleum Exporting Countries (OPEC), which pointed to a production of 1.48 million.
"Oil production will continue to fall this year due to maturing fields and lack of investment," they point out, also pointing out that the production limit under the OPEC agreement dropped to 1.18 million per day in May and June, and then rising to 1.25 million daily in the second half of the year.
"Exports will fall sharply and reduced oil revenue will limit the Government's ability to significantly increase spending and provide the necessary social safety net during the containment period," conclude the analysts.
