Angola´s net international reserves reached a balance of USD 13.6 billion, up to the end of September 2022, falling by just USD 1.2 billion compared to the period from 2018 to 2021, said President João Lourenço, last week in Luanda.
According to the Head of State, who was addressing a Solemn Opening Session of the new Legislature held in the National Assembly, the international reserves have stabilised around an average of nine months coverage of imports of goods and services over the last five years.
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The Head of State recalled that from 2014 to 2017, the net international reserves fell by USD 14.1 billion from USD 27.7 billion in 2014 to USD 13.6 billion in 2017.
Regarding the foreign exchange market, the President of the Republic reminded that it was introduced a flexible exchange rate regime which allowed to adjust the national currency value to the condition of the market, which is now operating normally without any administrative restrictions.
João Lourenço highlighted that there was an accumulated appreciation of the national currency against the US dollar of 40%, between 30 September 2021 and 30 September 2022, after a long period of continuous active depreciation.
He pointed out that the difference between the foreign Exchange rate of the official market and that prevailing in the informal foreign exchange market reduced significantly from 150% at the end of 2017 to less than 10% in the current days.
“It is a very important element to improve the business environment in the country, especially for foreign investors who want to expatriate their dividends, in a timely and secure manner”, reinforced the President.
In another field, the Head of State stressed about the Current Account of Angola´s Balance of Payments that recorded a deficit in the period of 2014 to 2017 and started reaching more positive results since 2018, including 2020 which was very much affected by the covid-19 impact.
João Lourenço said that the Executive expects to end the year 2022 with a positive Current Account balance, which should reach around 14% of the Gross Domestic Product (GDP).