Luanda: At least 20 percent of bank loans in Angola are in default, a fact that represents one of the main challenges to the country’s economic stability, the Secretary of State for the Budget, Juciene de Sousa, pointed out on Thursday.
According to Angola Press News Agency, this revelation highlights a significant hurdle for Angola’s financial institutions and policymakers. The high default rate raises concerns about the health of the banking sector and its ability to support economic growth.
The default rate of 20 percent poses risks to the broader economic framework, potentially affecting investment inflows and financial confidence. Efforts to address this issue are likely to focus on improving loan recovery processes and enhancing creditworthiness assessments.
The disclosure by Juciene de Sousa underscores the importance of implementing effective financial strategies to stabilize the banking sector and ensure sustainable economic development in Angola.