"We predict that the inflation rate will continue to rise to 18 percent by the end of the year and that the National Bank of Angola will raise the interest rate by 200 basis points [two percentage points] before the end of the year, and we expect that the effects of exchange rate devaluation will continue to be felt in the first half of 2024, resulting in average inflation of 20.3 percent next year", writes Oxford Economics.
In a comment on the evolution of prices in Angola, sent to customers and to which Lusa had access, analysts estimate that prices will be, in December, 18 percent more expensive than in December 2022, which means that, adding This year's total, prices have, on average, risen 13.6 percent over the year as a whole.
"The significant weakness of the currency since May, with the kwanza trading at the worst levels ever, at 830 per dollar, has led to a resurgence in food inflation, coupled with the fact that the reduction in fuel price subsidies has also began to put pressure on the rise in transport prices", the analysts also write.
Inflation, they conclude, "is at the highest level since October 2022 and has already been rising for six consecutive months, since May".
The National Statistics Institute recently announced that inflation had risen 2.2 percent compared to September prices, which represents a slight acceleration compared to the 2.1 percent growth recorded in September compared to the previous month, driven mainly by the food and non-alcoholic beverage sectors and by goods and services.