In April 2024, Angola experienced a sharp rise in inflation, reaching a seven-year peak of 28.02%.This increase marks the 12th consecutive month of upward movement, as reported by the National Institute of Statistics (INE).The jump represents a significant rise of 17.61 percentage points compared to the same period the previous year.
It is nearing the historical high of June 2017, when inflation soared to 30.51%.From March to April 2024 alone, the Consumer Price Index (CPI) rose by 2.61%, the most substantial monthly increase since September 2018.This inflation surge is particularly noticeable in the provinces of Luanda, Hula, and Cabinda, with rates climbing to 3.26%, 2.48%, and 2.34%, respectively.Rising Inflation in Angola Reaches Seven-Year High.
(Photo Internet reproduction)Sectors heavily impacted include healthcare, which saw the highest rise at 3.25%.
Other affected sectors are food and beverages, clothing, footwear, and hospitality services.Luanda faced the steepest inflation within the country, with prices jumping by 38.87%, an increase of 28.77 percentage points from the previous year.This dramatic inflation is driving a shift back to the local currency, the kwanza.
Businesses and consumers are seeking stability amid fluctuating exchange rates and escalating costs.This period of intense inflation is steering the economy away from dollar dependency.Government policies support this move, aiming to stabilize the kwanza and improve overall economic conditions.As Angola confronts these financial challenges, the emphasis is on managing inflation and nurturing a stable economic environment conducive to growth and development.The situation underscores a critical moment for Angola as it grapples with high inflation rates.These rates not only affect day-to-day living costs but also shape economic policies and future planning.This inflationary trend signals the need for careful economic management to ensure sustainable development and financial stability in the region.