Angola embarks on huge drive to woo investors

Angola, Africa's third largest economy, is making significant strides to exit a five-year recession, buoyed by the surge in oil prices over the past year. The country's recovery is underpinned by increased revenues from the oil sector, which have nearly doubled in the recent months. To sustain this positive momentum, Angola is aggressively seeking foreign direct investment (FDI) into its special economic zones. Antonio da Silva, President of Angola's Agency for Private Investment and Promotion of Exports, sheds light on the country's investment drive. Da Silva commended Angola's recent international investment efforts, highlighting the signs of economic recovery and anticipated growth in the coming years. He attributed these positive outcomes to ongoing reform initiatives across political and economic sectors, alongside strategic governmental priorities. These efforts include the establishment of special economic zones, designed to facilitate foreign investments by providing efficient infrastructure and competitive fiscal incentives. One of Angola's key advantages, as Da Silva noted, lies in its strategic geographical location, serving as a gateway to landlocked countries in the region. Despite the challenges posed by the COVID-19 pandemic, Angola's special economic zones have demonstrated resilience and growth, showcasing the country's ability to overcome obstacles and deliver encouraging results. The government is optimistic about sustaining and expanding this progress as the global economy emerges from the pandemic. Regarding investment targets and growth projections, Da Silva outlined strategic sectors for development, such as agriculture, manufacturing, services, ICT, and healthcare. Angola aims to capitalize on local production and import substitution, stimulating both domestic and export markets. The country's evolving business landscape has piqued the interest of existing investors, prompting shifts towards sectors with high growth potential. Moody's recent positive rating upgrade indicates improving conditions and investment prospects in Angola. In terms of attracting new investors, Da Silva emphasized the importance of fiscal incentives and regulatory flexibility. Angola has introduced a contractual regime that allows investors to negotiate incentives based on project scale and location. This tailored approach aims to enhance investor confidence and ensure mutually beneficial partnerships. Da Silva highlighted the country's commitment to creating a conducive business environment, addressing previous concerns such as visa accessibility and operational ease. Addressing liquidity issues and profit repatriation, Da Silva acknowledged the historical challenges but stressed the recent improvements in repatriation procedures. Angola has streamlined processes through financial institutions and regulatory reforms, enabling investors to repatriate dividends in compliance with laws. These measures, coupled with enhanced communication efforts, aim to build trust and reassure investors of Angola's evolving financial landscape. Looking ahead, Angola's economic diversification agenda includes leveraging mineral resources beyond oil, particularly rare-earth minerals vital for technological advancements. The country's vision encompasses sustainable growth through resource utilization, while also focusing on attracting partners in the oil sector. Angola remains committed to diversifying its economy, emphasizing long-term development and FDI initiatives to drive progress and create opportunities for its burgeoning youth population. In conclusion, Angola's journey towards economic recovery and diversification hinges on strategic reforms, investor-friendly policies, and sectoral growth priorities. As the country emerges from the recession and navigates a post-pandemic landscape, Angola's appeal to foreign investors underscores its resilience, potential, and commitment to sustainable development.