Following plunging oil prices, the Angolan government has cut its spending in half, vice president Manuel Vicente told Bloomberg.
Speaking at the state-of-the-nation address in Luanda, Vicente noted that public investment had been reduced by 53%. He delivered the speech in the absence of President Jose Eduardo dos Santos.
According to Bloomberg, oil accounts for about two-thirds of fiscal revenue in Angola, and this has given rise to economic risk in the wake of crude oil prices halving since June last year. Government has pursued funding from the World Bank and China to help relieve pressure on the economy.
“At this time, the macroeconomic indicators show us some stability and more encouraging prospects for the future, although they require a continuation of work that has been done so far,” Vicente told Bloomberg.
