322
The kwanza, the Angolan currency, has devalued almost 250% since 2017, a strategy necessary to defend international net reserves, but not enough, because the country still needs to boost the productive sector, says economist Fernandes Wanda.
The researcher at the School of Oriental and African Studies University of London pointed out that there is an interconnection between the devaluation of the kwanza, exchange rate policy, inflation and monetary policy, “a problem that is not of today”, although it has become more pronounced.
Fernandes Wanda noted that the kwanza always devalued against the dollar, except between 2004 and 2008, a period in which it experienced a favorable exchange rate thanks to a macroeconomic stabilization program supported by oil prices that allowed the constitution of net reserves.
