The National Bank of Angola’s Monetary Policy Committee reduced the BNA policy rate by 100 basis points from 18.5% to 17.5% and cut the interest rate on the Permanent Liquidity Provision Facility from 19.5% to 18.5%, while keeping the Permanent Liquidity Absorption Facility rate unchanged at 16.5%. The committee linked the rate decisions to a sustained slowdown in inflation, despite December inflation remaining above the 2025 target, and to expectations that disinflation will continue in the coming months. Inflation ended 2025 at 15.70%, down from 27.50% in 2024, with the deceleration attributed to greater availability of widely consumed goods, tighter liquidity management and exchange-rate stability. The National Bank of Angola estimated 2025 GDP growth at 2.6%, driven by non-oil activity (4.3%) alongside a contraction in the oil sector (-4.6%), and projected end-2026 inflation of 13.5% and GDP growth of around 3.5%; it also reported international reserves of USD 15.90 billion at end-2025, equivalent to 7.6 months of goods and services imports. The next Monetary Policy Committee meeting is scheduled for 11 to 12 March 2026 in Moçâmedes, Namibe province.
National Bank of Angola 2026-01-16
National Bank of Angola cuts policy rate to 17.5% and lowers standing lending facility rate to 18.5%
The National Bank of Angola's Monetary Policy Committee reduced the BNA policy rate by 100 basis points to 17.5% and the interest rate on the Permanent Liquidity Provision Facility to 18.5%, citing a sustained slowdown in inflation. Despite December inflation exceeding the 2025 target, the committee expects disinflation to continue, with 2025 GDP growth estimated at 2.6% and end-2026 inflation projected at 13.5%.