On Tuesday, November 25, a senior official from the Ministry of Finance announced that Angola will renew a facility of debt of one billion dollars incurred with JPMorgan, while she is nearing its due date.

Angola will seek to reduce the interest rate of this facility when it is extended, specified the manager, who wished to remain anonymous since the terms of the agreement are not yet finalized, without providing further details.

The initial rate was not disclosed, but the Ministry of Finance had indicated in May that it was slightly lower than 9%. JPMorgan declined to comment on the extension agreement or the revision of conditions.

Almost a year ago, Angola and JPMorgan had concluded a one-year derivative contract, called Total Return Swap, in the amount of one billion dollars, backed by 1.9 billion dollars in government bonds Angolan dollars denominated in dollars, created especially for this purpose. The bank had requested an additional guarantee of 200 million dollars in April after that the value of bonds used as collateral had weakened, at following the imposition by the United States of widespread tariffs on several countries.

Senegal, Gabon and the Cameroon are among the countries that have recently used this type of” off-market agreements”, such as private placements and loans, while the increase in debt and, in some cases, political uncertainty, limit their access to traditional shows.