The National Assembly (Angolan parliament) approved, last week, in the specialty commission, the Joint Opinion Reports on the Bills of Legislative Authorization on the Amendment of the Tax Regime Applicable to the Concession of Oil Blocks 30, 44 and 45.
The intention with the diplomas, approved with (20) votes in favour, none against and (8) abstentions, is to set the Tax on Petroleum Production rate at 8% and, likewise, for its income at 25%, for a period three years from 1 January of the year in which commercial production begins.
The session also approved the Joint Opinion Report on the Proposal for an Annual Law on the Evolution of Monetary and Exchange Policy Indicators, in 2022, in order to maintain control of the inflation rate, at moderate levels, and an annual average value not exceeding 7%, taking into account the SADC macroeconomic convergence criteria.
The diploma also aims to continue the process of combating inflation, with the aim of stabilizing the price and preservation of the national currency, as well as continuing with the policy of valuing the Kwanza against the foreign currency, guaranteeing the stability of the exchange rate.
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The measure foresees improving the application of monetary policy instruments, in order to ensure a more competitive interest rate in the region, to boost the private sector, and encourage the reduction of bureaucracy in processes for approving and granting credit to the particular branch of the economy.