FX.co ★ IMF Trims Angola’s 2025 Growth Forecast on Oil Price Drop, Financing Strains

The International Monetary Fund (IMF) has revised Angola's growth projection for 2025 downward from 3% to 2.4%. This adjustment is due to declining oil prices and increasingly restrictive external financing conditions, as reported following a recent visit to Luanda. The IMF highlighted that this revision poses potential risks to Angola's fiscal performance. Being significantly dependent on oil exports, Angola faced an additional $200 million security requirement for a $1 billion loan from JPMorgan, underscoring the susceptibility of smaller, open African economies during last month’s selloff in risk assets. Despite these obstacles, the IMF expressed confidence in the Angolan government's dedication to managing these risks and implementing effective countermeasures. This mission was conducted as part of a Post Financing Assessment for nations with significant IMF credit obligations but no current program in place. Additionally, Abebe Aemro Selassie, the head of the IMF's Africa department, engaged in discussions with Angola's President, João Lourenço, on the country's economic prospects.