Angola passes law to attract foreign investment

ANGOLA-  Angola on Thursday passed a law scrapping rules that previously forced foreign investors to partner with local firms, as President Joao Lourenco tries to revive the oil-dependant economy.

Lourenco has promised to pull in foreign investment, Lourenco took over in September after Jose Eduardo dos Santos who had ruled Angola for 38 years.

The introduced law has ended a minimum investment level of $230 000.

The requirement says that at least 35% of the capital has to come from Angolan partners.

Finance Minister Pedro Luis da Fonseca told lawmakers, “The law effectively eliminates the obligation on national citizens participating” in private investment,

The law had the backing of opposition parties, the law passed unanimously in parliament.

Lourenco promised an “economic miracle” in Angola after their economy was severely hit by the drop in oil prices.

During the oil boom in Angola, under Dos Santos admistration, he was accused of corruption and enriching a small elite, including his own family and not enriching many Angolans who remained in dire poverty.

Lourenco loyal memeber of  MPLA party, a loyal minister under Dos Santos, has now moved to tackle state corruption and nepotism after he took power.

Photo Credit- Quartz

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