Infrastructure Investment Opportunities in Angola American Council of Engineering Companies Annual Conference By: Hamilton Costa ANIP USA Resident Representative Washington DC - USA April 30th 2014 2 ANIP - Angolan National Private Investment Agency • ANIP is the only government entity responsible for the execution of the national policy on private investment, its promotion, coordination, evaluation, approval and supervision. • Founded in 2003 by Decree No. 44/03 of 4 July 2003. 3 Angola Geographical location data : West Coast of Southern Africa Area: 1,246,700 km² Maritime Frontier: 1,650 km (Atlantic Ocean) Land Frontier: 4,837 km (Democratic Republic of Congo, Zambia and Namibia) Climate: Tropical Average Temperature : 30ºC (max) 17ºC (min) Inhabitants: 20,900,000 (projection) Capital: Luanda (more than 5,000,000 inhabitants) Administrative Division: 18 Provinces Main Ports: Lobito, Luanda and Namibe 4 Angolan Economy: GDP Growth Rates • Between 2000-2010 GDP grew at an average of 11.25%. • Since 1994, per capita GDP has risen by 7x from US$ 591 to US$ 4,422 in 2010. 5 Macroeconomic Indicators 2010 2011 2012 2013 Premises of the Economic Policy: ° Annual oil production (million/bbl.) 696 605.9 657.3 673.5 ° Oil Price (USD/bbl.) 77.9 110.1 103.8 96 Goals of the Situation: ° General rate of growth of GDP % 3.4 3.9 8.1 5.6 ° Non- Petroleum GVA growth rate % 7.8 9.7 9.1 6.6 ° Petroleum GVA growth rate % -3 5.6 4.3 7.3% ° Annual inflation rate % 15.3 11.4 9.02 9% Fiscal (Percentage of GDP): ° Revenue 43.7 42.2 43.3 38.2 ° Expenditure 36.5 33.4 35.6 41.6 ° Public deficit 2.90 1.4 9.4 3.4 Rating: BB- (Standard & Poor) External Debt: 5% of GDP Source: http://www.minfin.gv.ao/docs/dspOrcaCorren.htm Angolan Infrastructure: Development Priorities 7 Angolan Infrastructure: Development Priorities Angolan policymakers are keen to use oil revenues to invest in the rehabilitation and expansion of the country’s infrastructure • Government plans include: ▫ Construction of new motorways, tertiary roads and bridges ▫ Rehabilitate the road network ▫ Invest in residential and commercial property ▫ Expand port capacity ▫ Upgrade the three major railway lines ▫ Invest in a new rail line connecting Namibe to the Cabinda Enclave 8 Angolan Infrastructure: Development Priorities cont. Angolan policymakers are keen to use oil revenues to invest in the rehabilitation and expansion of the country’s infrastructure • Government plans include: ▫ Invest approximately USD 18billion between 2009-2016 to expand hydroelectric generating capacity to 7000 megawatts by 2016 ▫ Extend the transmission network across the country build 10 new thermal electricity plants link the grid to Southern African Power Pool (SAPP) and to Western Power Corridor (WESTCOR) 9 Angolan Infrastructure: Development Policy Objectives cont. Angolan policymakers are keen to use oil revenues to invest in the rehabilitation and expansion of the country’s infrastructure • Government plans include: ▫ Construction of a new airport in Bom Jesus (located 40km southeast of Luanda) ▫ Rehabilitate the Cabinda airport Angolan Infrastructure: Key Upcoming Events 11 Trade Mission to Angola: May 29th – June 5th DIVERSIFYING INVESTMENT IN ANGOLA • A joint initiative between the U.S.-Angola Chamber of Commerce (USACC) and the Angola National Agency for Private Investment (ANIP) • Program includes the: • Angola-US Business Summit & Roundtable; • Briefings; • Matchmaking Sessions; • Meetings with Angolan government and industry officials For more information and the complete mission agenda: [email protected] 12 Angola Infrastructure Conference: Luanda May 26th PROMOTING INFRASTRUCTURE INVESTMENT IN ANGOLA • A joint initiative between the Angola National Agency for Private Investment (ANIP), World Bank(WB), International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA). For more information please contact: [email protected] 1420 K Street, NW, Suite 600 Washington, DC 20005 13 Thank you! Invest in the future, Invest in Angola! Contact Information Hamilton Costa: [email protected] Website: www.anip.co.ao ; www.anip-angola-us.com PowerPoint by: Maria Luísa Abrantes Translation by: Lynn de Albuquerque .