Harnessing Angola’s Non-Oil Economic Growth: Economic Diversification in Angola

Selected Issues Papers, May 13, 2025

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Angola remains heavily dependent on crude oil: "94 percent of exports and 60 percent of fiscal revenues" are attributable to oil activity.
The paper argues that a well-designed package of reforms can reduce structural barriers and market bottlenecks to support diversification, boost growth, and increase resilience.
The analysis emphasizes four policy areas tailored to Angola’s context.

Improve human capital
- Enhance education and workforce skills to support non-oil sectors.
Address critical infrastructure needs
- Prioritize infrastructure investments that remove bottlenecks to production and trade.
Foster a growth-friendly business environment
- Reform regulatory and institutional frameworks to encourage private sector activity and diversification.
Enhance access to credit
- Expand and deepen financial intermediation to facilitate investment in non-oil activities.

A coordinated reform package across the four policy areas is presented as necessary to reduce structural barriers and market bottlenecks that impede non-oil sector development.
The combined reforms are framed as supporting both short-term growth and longer-term resilience of the Angolan economy.