Angola: Inflation continues to drop off, but remains painfully high
May 16, 2017
Consumer prices in the province of Luanda, Angola rose 2.00% in April from the previous month, down from March’s 2.24%. According to the National Statistical Institute (Instituto Nacional de Estatística), April’s figure reflected a broad-based increase in prices, with a particularly significant uptick in prices for health, household equipment and clothing and footwear.
Inflation dropped from 37.9% in March to 36.3% in April, the lowest rate since July 2016 and marking the fourth consecutive monthly decline. Recent data suggests the economy may be over the inflation hump, with the effects of higher fuel prices and the depreciation of the kwanza observed last year finally starting to lessen. Inflationary pressures nevertheless remain elevated, denting consumers’ purchasing power and creating an uncertain business environment.
Author: Oliver Reynolds, Economist