Angolan economist Carlos Rosado de Carvalho considers that Angola has no margin to pay the debt to China and without an agreement with the Asian giant there will be “very violent cuts” in public spending
Speaking following the announcement of an agreement between China and several emerging countries for a moratorium on the payment of debts to Beijing, with no confirmation whether Angola is included in this group or not, Carlos Rosado de Carvalho suggested the possibility of a new state budget, but warns that “there will be very violent cuts if Luanda is unable to negotiate the payment of the debt with Beijing”.
The payment of the debt to China under the current State Budget, revised this year, “is not feasible”, he says.
“In my opinion, the budget implies a moratorium of $3.7 billion, more or less. So, if there is no such moratorium, I don’t know where Angola is getting the money. The revised state budget as it stands is not feasible ”, he stresses.
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