Angola’s economic growth slowed in 2025 largely due to lower oil prices, reduced production, and moderate growth in non-oil sector activity. Real gross domestic product growth is projected at 1.9%, down from 4.4% in 2024.
While inflation remains elevated, inflationary pressures have continued to ease and are projected to end 2025 at 17.2%. Growth is expected to remain subdued at 2.0% in 2026, with a gradual recovery over the medium term, dependent on progress in economic diversification. Inflation is projected to continue its gradual decline.
Near-term financing pressures remain elevated due to sizeable debt service obligations. The 2026 budget reflects the authorities’ strong resolve to adjust expenditures and contain emerging risks to preserve macroeconomic stability and debt sustainability, while aiming to protect the most vulnerable and sustain growth momentum.
The IMF team thanked the authorities for their productive engagement and hospitality. Angola’s 2025 Article IV consultation is expected to be discussed at the IMF Executive Board in February 2026.
–IMF/ChannelAfrica–
