Angola’s privatization drive nears completion as Sonangol remains Off the Table
Luanda is pushing forward with its ambitious privatization program, PROPRIV, aiming to sell ten state-owned enterprises by year’s end. The government has already offloaded 120 of 130 targeted assets since 2019, generating roughly $1.4 billion in revenue. Yet the crown jeweloil giant Sonangol—remains conspicuously absent from the list.
President João Lourenço, who will step down after the 2027 election, wants to wrap up this economic overhaul before leaving office.
The remaining divestments include diamond producer Endiama, national airline TAAG, and telecom operator Angola Telecom. Some will go public through stock exchange listings, while others will be sold via tender offers.
Officials acknowledge that Sonangol’s listing has been pushed to 2027 due to time constraints.
This matters enormously: oil accounts for over 90% of Angola’s exports and roughly 70% of budget revenues. Rising crude prices, however, have eased fiscal pressure following a 22% drop in oil income last year.
The clock is ticking on multiple fronts. Lourenço cannot run again in 2027, and his MPLA party secured its narrowest electoral victory in decades in 2022, with just 51% of the vote.
By courting Western and Gulf capital, Luanda hopes to reduce reliance on Chinese loans and diversify an economy still tethered to crude.
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