CDP Monitoring Reports 2022 - Angola

The CDP takes note that the pandemic has aggravated the overall macro-economic situation in Angola, leading to the fifth consecutive year of economic recession in 2020 and continuing debt unsustainability. Despite some recent improvements in 2021, along with higher oil prices, the GNI/capita in Angola could fall below the graduation threshold on income criteria in 2023. Also, CDP takes note that the country has not improved in the other two LDC indicators – HAI and EVI – which continue to be insufficient to grant Angola graduation beyond the income criteria. As such, the CDP considers the situation in Angola fragile and highlights the need to continue to monitor closely the situation through the newly created Enhanced Monitor Mechanism. The monitoring provided by the Secretariat will contribute to decide on further steps regarding the graduation of Angola. The CDP also welcomes the recent information provided by Angola regarding their efforts towards the preparation of the smooth transition strategy. The CDP recommends Angola to finalize their STS as soon as possible, as an opportunity to reflect on strategic options to ensure a sustainable development path for the country in line with the priorities included in the National Development Plan. Moreover, structural transformation is most critical for Angola as oil dependent country, which requires addressing trade-offs between long-term objectives and short-term macroeconomic stability. This transformation is not possible without international support.