Angola: Inflation eases to five-month low in September
Latest reading: Inflation fell to 29.9% in September from August’s 30.5%. September’s figure marked a five-month low, though it remained entrenched above the Central Bank’s 23.0% target for the end of this year. Past interest rate hikes have continued to trickle down to the real economy, and food supply has improved in recent weeks, leading to a continuation of the disinflationary trend in September. That said, a sustained weakening of the kwanza and the scaling back of petrol subsidies have continued to fuel price pressures so far in 2024.
Meanwhile, the trend pointed up, with annual average inflation rising to 25.8% in September (August: 24.6%).
Lastly, consumer prices increased 1.63% over the previous month in September, which was above the 1.61% increase logged in August.
Panelist insight: Analysts at the EIU commented:
“We expect upward inflationary pressures to persist in 2025, owing to the complete removal of the remaining fuel subsidies on diesel, kerosene and coking coal. Additional price pressures will emerge from continued kwanza depreciation in 2025. Accordingly, we expect average inflation to rise from an estimated 30.5% in 2024 to 38.5% in 2025.”