The central bank of Angola maintains its key rate, despite the fact that inflation remains elevated

The central bank of Angola maintained its main interest rate at a steady level on Tuesday for the fourth consecutive meeting. Inflation in the oil-rich Southern African nation has continued to decrease, but it remains above 27% on an annual basis.

After “hold” decisions were made at monetary policy meetings in July, September, and November, the Bank of Angola maintained its key rate (AOINTR=ECI) at 19.50%.

“Central bank Governor Manuel Tiago Dias informed reporters that prices for goods and services continue to be elevated; however, inflation has experienced a decline in both monthly and year-over-year terms since its peak in June-July 2024.”

The year-over-year inflation rate in Angola decreased marginally last month to 27.50% (AOCPIY=ECI), a decrease from 28.41% in November.

According to Dias, the Angolan economy was anticipated to expand by 4.4% in the previous year, which was higher than the 4% forecast offered at the monetary policy meeting in November.

Economic growth of 3.5% was anticipated by the governor for 2025.