Angola Monetary Policy February 2018

Angola: Central Bank leaves main interest rate unchanged in February

At its monthly meeting held on 28 February, the National Bank of Angola (Banco Nacional de Angola, BNA) left the main interest rate unchanged at 18.00%.

The Bank’s stance was expected, given elevated inflation in the country and the currency devaluation on 9 January. While inflation moderated from 26.3% in the previous month to 25.1% in January, consumer prices in January increased from 1.13% month-on-month to 1.39%. This suggests that price pressures remain elevated and it is too early to slash rates. On the other hand, raising rates to stem inflation would negatively impact economic activity and have a significant impact on the country’s non-oil sector, weighing on economic growth and Angola’s economic recovery.

The press release was devoid of any forward guidance, but analysts expect monetary conditions to remain tight in the foreseeable future. Any future rate decision will depend on incoming data from the real and monetary sectors.

The next monetary policy meeting is scheduled for 30 March.

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest