The International Monetary Fund (IMF) said on Wednesday it would disburse $ 1 billion to Angola to address the impact of the coronavirus pandemic.
The IMF executive board made the decision after completing a third review of Angola’s three-year economic program under its expanded financing facility approved in late 2018, bringing total disbursements under the agreement to about 2.5 billion dollars.
“Angola’s economy has been badly affected by a triple external shock induced by COVID-19.
The shock caused economic and health crises, exacerbated by falling oil prices in view of Angola’s dependence on oil exports, ”the IMF said in a statement.
The fund went on to list some “decisive measures” taken by the authorities to deal with the impact of the crisis.
Deputy Managing Director and Acting Chairman of the Board, Antoinette Sayeh, said that “the pursuit of structural reforms is critical to diversifying the economy and laying the foundation for private sector-led economic growth.
“The government will have to remain steadfast in improving the business environment, strengthening governance and fighting corruption.”
In late June, the IMF said sub-Saharan African economies were projected to contract 3.2% due to the pandemic, and growth was expected to rebound to 3.4% in 2021, assuming the crisis decline and blockages are further attenuated in the second half of 2020.
In the largest economies in the region, Angola, Nigeria and South Africa, gross domestic product was projected to return to pre-crisis levels only by 2023 or 2024. (dpa / NAN)