Angola is broke according to President Jose Eduardo since the national oil company Sonangol failed to remit cash to the government this year according to local media
The second largest producer of crude oil in Africa, Angola, relies on its crude export which accounts for two thirds of its tax revenue oil plus contributes 60 percent to the state budget. Second to oil, Angola relies on 95 per cent of its foreign currency receipts.
The Southern Africa country is being managed in an “extremely complicated environment” due to lack of foreign exchange which stems from the depression of the oil price in the international market explained President dos Santos reports The Citizen.
“.. Our economy is decreasing drastically and since January the government has not gotten revenue from Sonangol… due to the oil depression price” said the President
The President further added that the country is unable to import goods although it relies heavily on imports due to lack of finances.
“Since imports fell sharply, also decreased the revenues from customs. This is to see how we manage, in an extremely difficult environment, where there is no currency, “he said
The government of Angola adopted a strategy aimed at diversifying the economy by increasing domestic production and gradually reducing imports.
“We have to produce other goods for export and not to depend only on oil.” Said the President
