Angola’s draft budget forecasts 2025 deficit of 1.65% of GDP

LUANDA (Reuters) -Angola’s government anticipates a budget deficit of 1.65% of gross domestic product in 2025, slightly higher than this year’s projected 1.46% deficit, draft budget documents showed.

The draft 2025 budget of Africa’s second-largest crude oil exporter is based on a $70 a barrel oil price, according to the documents posted on the finance ministry’s website. Brent crude futures were trading around $74 a barrel on Friday.

Angola’s finance minister Vera Daves de Sousa told Reuters last week that the prospect of lower oil prices was putting a lot of pressure on the southern African country.

The draft budget also sees economic growth accelerating to 4.1% next year from 3.3% this year, with faster growth predicted for non-oil sectors.

External financing needs are seen at 7.09 trillion kwanzas ($7.80 billion) in 2025, up from the 6.17 trillion seen in 2024. Internal financing needs are estimated at 7.55 trillion kwanzas, up from 3.83 trillion this year.

The finance ministry estimates annual inflation will end next year at 16.6%, from over 29% currently.

Daves de Sousa told Reuters last week that Angola was considering requesting a financing programme from the International Monetary Fund.

Its most recent IMF programme was for $3.7 billion, approved in 2018 after global crude prices tanked, decimating the country’s revenues.

($1 = 909.0510 kwanzas)

This post is originally published on INVESTING.

  • Related Posts

    Russia’s claim of emissions in annexed Ukraine regions draws protests at COP29

    By Valerie Volcovici BAKU, Azerbaijan (Reuters) – Russia has included the territories it occupies in Ukraine in its recent greenhouse gas inventory report to the United Nations, drawing protests from…

    Oil prices settle up 1% at 2-week high as Ukraine war intensifies

    By Scott DiSavino (Reuters) -Oil prices climbed about 1% to a two-week high on Friday as the intensifying war in Ukraine this week boosted the market’s geopolitical risk premium. Brent…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Russia’s claim of emissions in annexed Ukraine regions draws protests at COP29

    • November 23, 2024
    Russia’s claim of emissions in annexed Ukraine regions draws protests at COP29

    Weekly Brief: My Forex Funds Negotiating with CFTC?, Bitcoin Nears $100K, and More

    • November 23, 2024
    Weekly Brief: My Forex Funds Negotiating with CFTC?, Bitcoin Nears $100K, and More

    Oil prices settle up 1% at 2-week high as Ukraine war intensifies

    • November 22, 2024
    Oil prices settle up 1% at 2-week high as Ukraine war intensifies

    COP29 climate summit overruns as $250 billion draft deal stalls

    • November 22, 2024
    COP29 climate summit overruns as $250 billion draft deal stalls

    SEC Fines Webull, Two Broker-Dealers for Compliance Failures

    • November 22, 2024
    SEC Fines Webull, Two Broker-Dealers for Compliance Failures

    SEC Fines Webull, Two Brokers-Dealers for Compliance Failures

    • November 22, 2024
    SEC Fines Webull, Two Brokers-Dealers for Compliance Failures