New World Bank Group Financing Supports Angola’s Economic Reforms to Promote Inclusive Growth and Job Creation

WASHINGTON, March 5, 2026 - The World Bank's Board of Executive Directors and the Multilateral Investment Guarantee Agency's (MIGA) Board of Directors approved the first in a series of operations to support Angola's ambitious structural reform agenda and its efforts to diversify its economy, promote inclusive growth, and ramp up job creation, particularly for its large youth population.

The operation comprises a $750 million development policy loan and a $240 million policy-based guarantee, complemented by a second loss guarantee from MIGA. The two guarantees cover a $400 million commercial loan, bringing the total package to approximately $1.1 billion. Combined, these financial instruments and knowledge from across the World Bank Group will maximize development outcomes for Angola, while preserving debt sustainability and mobilizing private capital.

"This development policy operation reflects the World Bank's strong partnership with the Government of Angola to advance reforms that promote inclusive growth, strengthen fiscal sustainability and human capital, and protect the most vulnerable," said Albert Zeufack, World Bank Division Director for the Democratic Republic of Congo, Angola, Burundi and Sao Tome and Principe. "By supporting policies that improve public financial management, enhance transparency, and expand opportunities for private sector-led job creation, this operation helps lay the foundation for more resilient and equitable development."

The operation will also contribute to the development of the Lobito Corridor, a key infrastructure initiative linking Zambia and Democratic Republic of Congo to the port of Lobito in Angola, which is expected to mobilize foreign direct investment and yield better jobs, more diversified growth, and regional integration.

The two guarantees will provide the Government of Angola with additional fiscal space to invest in its development priorities through a debt-for-development swap. This mechanism aims to prepay costly commercial debt with the proceeds of a competitively procured and guaranteed commercial loan, thereby reducing debt service costs and improving debt sustainability. Part of the fiscal savings generated by the swap will be redirected toward expanding access to education, contributing to improved human capital outcomes and enhanced job opportunities for future generations.

"This transaction combines the strength of the International Bank for Reconstruction and Development (IBRD) and MIGA's balance sheets to create additional savings to the government-which in turn is used to build schools," said Muhamet Bamba Fall, MIGA's Director for Industries. "This operation demonstrates the power of the Guarantee Platform for both liability management and human capital development."

The World Bank Group is one of Angola's largest sources of long-term development finance, with a portfolio of nearly $5 billion through IBRD, $265 million via MIGA, and $200 million from the International Finance Corporation.