Ver Angola

Economy

Angola asks for bilateral debt moratorium until the end of 2021

Angola will take advantage of the extension of the G20 Debt Service Suspension Initiative to also ask for the extension of the moratorium on unsecured bilateral debt service until the end of the year, the government announced.

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"After assessing the situation, the Government of Angola, through the Ministry of Finance, decided to take advantage of the final extension of the G20 Debt Service Suspension Initiative (DSSI) and asked its sovereign partners to continue the suspension of bilateral debt service not guaranteed from 1 July to 31 December 2021", announced the Ministry of Finance in a statement.

The ministry does not mention the amounts of the bilateral debt, but according to information made available on the website of the National Bank of Angola, at the end of last year it was 5,774.1 million dollars.

The communiqué reaffirms that the authorities, with the support of the International Monetary Fund (IMF) and other multilateral partners, "continue to implement an ambitious program of macroeconomic reforms to date, with an emphasis on debt management", which has allowed maintain debt on a sustainable basis, despite the impacts of covid-19.

The ministry also highlights that the extension of the DSSI will provide Angola with additional funds to continue to mitigate the consequences of the pandemic and increase the Government's capacity to implement its long-term program of sustainable economic growth.

The executive does not foresee, for the time being, the need to get involved in more negotiations to reformulate the profile with creditors, in addition to those related to the implementation of the DSSI, the document adds.