Thursday, March 29, 2007

Angola Stops IMF Negotiations

Source: Angola calls a halt to IMF talks -

Angola and the IMF had been negotiating regarding the implementation of a program for Angola. The advisor in the Africa Department of the IMf and the mission chief for Angola, Calvin McDonald, stated that Angola had been offered the possibility of having an IMF-supported program, which would likely not have involved borrowing.

However, during the past few years the Angolan economy has gone through a great deal of growth. In the past three years alone, the economy has grown by 13%,and this month oil production for the country is expected to at 1.3 million barrels per day.

Because of this wave of prosperity, Angola's finance minister told the IMf that they were no longer interested in any kind of program and negotiations therefore ended. The finance minister also recognized that the country's growing economy has opened up financial opportunities with new partners.


Should Angola reconsider negotiations with the IMF considering the fact the country owes an estimated $2.3 billion to the Paris Club?

No comments: