Angola’s Trade Dynamics: A Decline in Exports and Rising Imports in H1 2025

Angola Faces Economic Challenges as Exports Plummet and Imports Surge

Luanda, Oct. 31, 2025 (Lusa) — Angola’s economy is grappling with significant challenges as recent data reveals a sharp decline in exports, particularly in the oil sector, alongside a notable increase in imports. According to the Economic Report for the First Half of 2025, released by the Centre for Economic Research (CINVESTEC) at Lusíada University of Angola, exports fell from US$18.4 billion to US$15.2 billion, marking a staggering 17.5% year-on-year decrease.

The report highlights that while Angola’s external account remains “relatively balanced,” there are emerging pressures on the external sector. The current account continues to show a positive balance, but the significant drop in oil exports—down 18.9% to US$14 billion—has raised concerns about the country’s economic stability. Oil continues to dominate Angola’s export landscape, accounting for a staggering 80.6% of total exports.

In contrast, imports surged by 11%, reaching US$8.76 billion. This imbalance has led to a decline in the ratio of exports to imports, which fell from 13.9% to 13.1%, underscoring Angola’s heavy reliance on foreign trade. The non-oil trade balance recorded a deficit of US$7.6 billion, worsening by 12% in cumulative terms.

Despite the overall decline in exports, non-oil exports saw a slight increase of 5%, totaling US$1.15 billion. However, this growth pales in comparison to the rising import figures, which include machinery, foodstuffs, and construction materials.

CINVESTEC economist Agostinho Mateus emphasized the need for Angola to diversify its export structure, which remains heavily concentrated in oil. “The future of Angola’s external account will depend on its ability to convert statistical stability into real economic progress,” he stated, calling for consistent policies focused on diversification, industrialization, and competitiveness.

The report also noted a significant improvement in the primary income balance, which showed a deficit of US$2.9 billion, a 24.2% improvement compared to 2024. However, the decline in foreign direct investment—from US$29.4 billion in 2017 to US$12.5 billion—highlights the waning attractiveness of Angola for productive investment.

As Angola navigates these economic challenges, the focus will be on implementing strategies that foster growth and reduce dependency on oil exports. The coming months will be crucial in determining the trajectory of the country’s economy as it seeks to stabilize and diversify its external accounts.