Angola Country Summary

FATF Status

Angola is on the FATF List of Countries that have been identified as having strategic AML deficiencies

Latest FATF Statement - 21 February 2025

In October 2024, Angola made a high-level political commitment to work with the FATF and ESAAMLG to strengthen the effectiveness of its AML/CFT regime. Since the adoption of its MER in June 2023, Angola has made progress on some of the MER’s recommended actions including enhancing national cooperation and coordination, international cooperation and the use of financial intelligence by competent authorities. Angola will continue to work with the FATF to implement its FATF action plan by: (1) enhancing its understanding of ML/TF risks; (2) improving risk-based supervision of non-financial banking entities and DNFBPs; (3) ensuring competent authorities have adequate, accurate and timely access to beneficial ownership information and that breaches to obligations are adequately addressed; (4) demonstrating an increase in ML investigations and prosecutions; (5) demonstrating the ability to identify, investigate and prosecute TF; and (6) demonstrating an effective process to implement targeted financial sanctions without delay.

Compliance with FATF Recommendations

The latest follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Angola was undertaken in 2023. According to the Evaluation, Angola was deemed Compliant for 7 and Largely Compliant for 15 of the FATF 40 Recommendations. It was deemed Highly Effective for 0 and Substantially Effective for 0 with regard to the 11 areas of Effectiveness of its AML/CFT Regime.

Corruption continues to hinder business operations in Angola despite improvements since 2017, with the Lourenco administration implementing an anti-corruption legal framework that faces challenges in execution. The country has made arrests related to embezzlement and signed international anti-corruption agreements, yet it remains ranked poorly on the Transparency International Corruption Perceptions Index. Additionally, Angola grapples with various criminal activities, including human trafficking, arms trafficking, and financial crimes, while efforts to combat organized crime and improve governance face significant obstacles.

Angola's economy is heavily reliant on the oil sector, which significantly influences government revenue and fiscal stability, despite ongoing efforts to diversify through the National Development Plan (2023-2027). The country faces macroeconomic challenges such as high inflation nearing 25%, a depreciated currency, and high interest rates, while projected economic growth for 2024 is around 3%, primarily driven by domestic demand. Additionally, Angola's commitment to improving the investment climate is evident through recent reforms and initiatives aimed at attracting foreign direct investment.

Angola is actively working to enhance its investment climate, prioritizing reforms in its National Development Plan (2023-2027) that focus on economic diversification and infrastructure modernization. Despite facing challenges such as high inflation and a depreciated currency, foreign direct investment (FDI) has increased, particularly in sectors like offshore oil and gas technologies and agriculture. The government has also initiated a privatization program, aiming to attract more foreign investment by improving transparency and reducing bureaucratic hurdles.