Country Report Angola
- ID: 2114010
- November 2015
- Region: Angola
- 24 Pages
- The Economist Intelligence Unit
First National Bank, part of South Africa's FirstRand, has announced that it will no longer supply US dollars to Angola after November 30th.
First National's announcement will add to the growing pressure on the kwanza, which has depreciated by nearly 35% since the start of the year owing to the slump in oil prices, Angola's main export and revenue source. The Banco Nacional de Angola (BNA, the central bank) was selling kwanza at Kz135.98:US$1 on November 25th. However, on the black market the rate is as high as Kz270:US$1-for those who can find dollars. Many exchange houses in the capital, Luanda, are closed, and the city's informal dealers (kinguilas) are conspicuously absent from street corners.
The ever-growing gap between the official and the parallel rate has likewise pushed up inflation. Consumer prices rose by 1.17% between September and October, according to the Instituto Nacional de Estatística (INE). The annualised rate of 12.4% is nearly 5 percentage points higher than October 2014.