Rising international oil prices have significantly improved foreign exchange liquidity in Angola, enabling the government and central bank to increase hard currency sales to commercial banks and ease pressure on the country’s financial system.
Data released by the National Bank of Angola (BNA) show that April recorded the highest level of foreign exchange availability in more than two years, driven largely by increased interventions from the National Treasury and the central bank.
The Treasury injected US$509.2 million into the foreign exchange market during April, almost matching the total amount supplied during the first three months of the year combined. According to available records, it was the largest monthly foreign currency sale by the Treasury since such data began to be published.
At the same time, the BNA more than doubled the amount of foreign currency made available to commercial banks compared with average levels recorded between January and March.
In total, banks purchased US$1.51 billion in foreign exchange during April through transactions involving oil companies, diamond producers, businesses, individuals, the Treasury and the central bank.
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The amount was approximately US$500 million higher than the monthly average recorded during the first quarter, reflecting a marked improvement in liquidity conditions across the banking sector.
The stronger supply of foreign currency has helped reduce delays in international payments and transfers, which had become a major concern for businesses and individuals facing shortages of hard currency in recent months.
Between January and April, commercial banks acquired a total of US$4.53 billion in foreign exchange, representing a 19 percent increase compared with the same period in 2025.
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In absolute terms, banks had access to US$735.6 million more in foreign currency than during the first four months of the previous year.
Analysts attribute the improvement largely to higher export earnings from the oil sector, which remains Angola’s dominant source of foreign exchange and government revenue.
Although crude oil production has remained relatively constrained, stronger global prices have boosted export receipts and improved the authorities’ ability to supply foreign currency to the domestic market.
Oil companies sold US$1.66 billion to banks during the first four months of the year. While this represented a slight decline of about US$102 million from the same period a year earlier, the sector remained the largest source of foreign exchange inflows.
Meanwhile, foreign exchange sales by businesses and individuals expanded significantly. Transactions in this category rose by $304.3 million year-on-year to reach US$1.21 billion between January and April, reflecting stronger market activity and improved liquidity conditions.
The diamond industry also continued to contribute to foreign exchange supply, benefiting from a recovery in export activity. Although the sector remains much smaller than oil in terms of foreign currency generation, it provides an important supplementary source of hard currency for the economy.
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The latest figures suggest that exchange-rate pressures, which have weighed heavily on Angola in recent years, may be beginning to ease as foreign currency availability improves.
Angola has faced recurring challenges linked to its dependence on oil exports, with fluctuations in global energy markets often translating into sharp swings in government revenues, foreign reserves and exchange-rate stability.
Economists caution, however, that the sustainability of the recent improvement remains closely tied to developments in international oil markets.
While higher crude prices are providing short-term relief, they warn that Angola’s long-term resilience will depend on broadening the economy’s export base and reducing its heavy reliance on hydrocarbons as the primary source of foreign exchange earnings.
For now, stronger oil revenues are helping stabilise the foreign exchange market and providing banks with greater access to hard currency, offering some relief to businesses and consumers navigating a challenging economic environment.
