Carlos Rosado de Carvalho, an economist, has observed that Angola’s Privatization Program (ProPriv) is not hitting its targets.
He notes to the LUSA agency the public sector is now even bigger than when privatization started.
Despite efforts, only a few entities, like the BCI bank in 2021 and a portion of Caixa Angola, have been privatized. However, these moves have not made a significant impact.
Rosado de Carvalho points out the growth in government ownership, mentioning the nationalization of several major companies and media outlets.
This expansion suggests the state’s footprint in the economy has increased, contrary to the program’s intent to slim it down.
In 2023, the government managed to privatize just 11 out of 74 targeted assets.
These sales generated 47.9 billion kwanzas, which is underwhelming considering the scale of the program.
For 2024, the plan includes privatizing 31 assets, highlighting the National Insurance Company of Angola and Standard Bank Angola, among others.
The economist labeled 2023 as a disappointing year for privatizations, with proceeds falling short of expectations.
He also highlighted the challenging backdrop of low oil prices and the pandemic, which hampered the program’s progress.
Rosado de Carvalho concludes that for ProPriv to be considered successful, it must achieve significant sales of high-profile assets.
His analysis suggests that while the intent to privatize is there, the outcomes so far have not met the ambitious goals set by the program.
More: Angola news in English, every day from The Rio Times.
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