China’s drug authority has approved for clinical trials an inhaled Covid-19 vaccine co-developed by domestic firm CanSino Biologics, the company said in a filing on Tuesday.
The move comes after the National Medical Products Administration gave another CanSino vaccine conditional approval last month, allowing it for public use.
China currently has five coronavirus vaccines that have been given conditional market approval or allowed for emergency use, but none of these are administered by inhalation.
CanSino said in its latest filing on the Hong Kong stock exchange that the vaccine for inhalation was jointly developed by the company and the Beijing Institute of Biotechnology, adding that their clinical trial application got the green light on Monday.
But it warned that the vaccine’s safety and efficacy remain “subject to confirmation” in trials.
As of March 20, China had administered 74.96 million coronavirus vaccine doses, according to Our World in Data, a collaboration between Oxford University and a charity.
Chinese embassies in some countries including the United States, Australia and India have issued notices saying the country will open visa applications to select people who have taken a China-made jab.
On Tuesday, a Chinese foreign ministry official said it is in “close communication” with various countries and “willing to reach mutually beneficial arrangements” to facilitate cross-border travel.
Global investor interest in Chinese bonds soared to new heights in 2020. According to the research data analyzed and published by Stock Apps, foreign holdings of Chinese interbank bonds stood at 3.25 trillion yuan ($502 billion) at the end of December 2020.
The figure marked a net increase of 1.07 trillion yuan from 2019, translating to a growth of 48.8% year-over-year (YoY). It is the first time that the holdings have crossed the $500 billion threshold.
At the end of 2017, they stood at 1.15 trillion yuan and represented a 1.55% share of the country’s bond market. Compared to the current total, the figure has nearly tripled in that duration.
Notably, foreign holdings of Chinese interbank bonds only account for 2.7% of the total Chinese bond market. Based on a report by China’s central bank, the total market had a value of 115.7 trillion yuan ($17.9 trillion) at the end of November 2020.
Overseas investments in Chinese government bonds (CGBs) reached a record 1.88 trillion yuan ($290 billion) at the end of December 2020. It marked a 44% growth YoY.
Moreover, quasi-sovereign policy bank bond holdings by foreigners skyrocketed 84.4% from 2019. They reached a record high of 919.18 billion yuan ($142 billion). Their popularity stems from the fact that they are easier to trade and offer higher returns than CGBs.
China’s Bonds Yield Recovers to 3% vs. 1% for US Treasuries
Among the factors making Chinese bonds appealing on an international scale are their relatively high yields.
Based on a study by Refinitiv, the spread of the 10-year CGB yield above 10-year US Treasuries soared to a high of almost 260 basis points by July 2020. As of January 7, 2021, they were still above 200 basis points.
While China’s 10-year bonds have a yield of over 3%, the 10-year US Treasuries yield slightly more than 1%.
US Treasury yield is above 1% due to expectations of stronger stimulus as well as the US Federal Reserve’s possible tapering of bond purchases. It fell from 1.9% at the end of December 2019 to a low of 0.54% in March 2020 at the height of the pandemic. By the end of December 2020 though, it had rebounded to the current level.
In contrast, China’s 10-year CGB had a yield of 3.2% at the end of December 2019, slumping to a low of 2.48% in April 2020. By the end of 2020, it stood at 3.15%.
Another factor behind the increased interest is the opening up of the market by regulators, which has made it easier to trade. In September 2020, China’s central bank together with other regulators unveiled new proposals aimed at simplifying the application process for foreign bond investors.
Additionally, three major index providers, JP Morgan, Bloomberg and FTSE Russell, added CGBs to their flagship indexes.
China’s Economy to Grow by 8% in 2021 against 3.5% for US
For foreign investors, China’s rapid economic recovery following the pandemic has also boosted confidence.
According to the World Bank, China’s GDP is projected to grow by 7.9% in 2021 compared to 2% in 2020. A Nikkei Asia report shows similar optimism, forecasting an expansion of 8.2%, the highest growth in almost a decade. In contrast, the global economy is set to grow at 4% in 2021 following a 4.3% contraction in 2020. On the other hand, US GDP is expected to grow at 3.5% in 2021 after a contraction of 3.6% in 2020.
Based on a report by Fidelity International, the aforementioned factors will continue to spur the growing interest in Chinese bonds by foreign investors.
CMSC analysts offer a slightly different outlook, forecasting foreign holdings of 900 billion yuan in Chinese bonds in 2021. Their projection is based on a narrowing yield spread, which is expected to make the bonds less appealing.
The increase in investments tied to the yuan has pushed the Chinese currency to its highest level in over two years. As of January 22, 2021, the US dollar was equivalent to 6.48 yuan. Comparatively, it was worth 7.16 yuan in May 2020. According to data from SWIFT, the Chinese yuan was the fifth most used currency for global payments. It accounted for about 2% of all transactions globally in 2020. For some perspective, the yuan only got 35th spot globally in 2010 when SWIFT started currency tracking.
Lastly, Morgan Stanely predicts that by 2030, the yuan will have a 5% to 10% share of global foreign exchange reserve assets, up from 2% in 2020. That would place it behind the US dollar and the euro, overtaking the Japanese yen and British pound.
China's exports rose at the fastest pace in almost three years in November, as strong global demand for goods needed to ride out the pandemic landed the world's second-largest economy a record trade surplus.
A brisk factory recovery in China from coronavirus shutdowns earlier this year has far outpaced reopenings seen in major trading partners, many of which are still struggling with outbreaks.
Exports in November rose 21.1% from a year earlier, customs data showed on Monday, the fastest growth since February 2018. It also soundly beat analysts' expectations for a 12.0% increase and quickened from an 11.4% increase in October.
The strong exports come despite the yuan hovering near multi-year peaks against the dollar, which would be welcome news for policymakers concerned about the impact of a weakening greenback on China's trade competitiveness.
Imports rose 4.5% year-on-year in November, slower than October's 4.7% growth, and underperforming expectations in a Reuters poll for a 6.1% increase, but still marking a third straight month of expansion.
Analysts say improving domestic demand and higher commodity prices helped buoy the reading.
"We believe China's export growth could remain elevated for another several months due to the worsening COVID-19 situation overseas," the note said.
However, they noted some signs that demand for these pandemic-related goods was losing momentum.
The firm shipments led to a trade surplus for November of $75.42 billion, the largest since at least 1981 when Refinitiv records began. It was also wider than the poll's forecast for a $53.5 billion surplus.
China's exports were supported by strong overseas demand for personal protective equipment (PPE) and electronics products for working from home, as well as seasonal Christmas demand, Nomura analysts said in a note.
Booming sales of fridges, toasters and microwaves to households across the locked-down world have helped propel China's manufacturing engine back to life, super-charging demand for key metals like steel, copper and aluminium, after a sharp slump early in the year.
In another sign of buoyant trade, China's export surge and the low turnaround rate of containers from abroad have triggered a recent shortage of containers domestically, state media China Daily reported.
A spate of early indicators showed China's economic recovery from the coronavirus pandemic has stepped up, with manufacturing surveys showing new export orders expanding at a faster pace for November.
That comes despite a sharp appreciation in the yuan in recent months, which some fear could hit exporters. Some firms reported that a strong yuan squeezed profits and reduced export orders in November, the statistics bureau said this week.
The yuan has booked six straight months of gains, its longest such winning streak since late 2014, and is trading at 2-1/2 year highs.
The strong exports widened China's trade surplus with the United States to $37.42 billion in November from $31.37 billion in October.
Chinese buyers nevertheless stepped up purchases of U.S. farm produce including soybeans to fulfill China's pledge in the initial trade deal it signed with the United States in January this year.
While a Biden administration is expected to soften some of the rhetoric seen in strained U.S.-China trade relations in recent years, there are no immediate signs the President-elect intends to unwind the punitive tariffs introduced under the Trump administration.
Although China's imports were weaker than expected, volumes continued to rise on a sequential basis, said Louis Kuijs of Oxford Economics.
"We expect goods imports to grow further into 2021, underpinned by strong domestic demand, with imports of capital goods to be better supported than those of commodities," Kuijs said.
China's iron ore and copper imports both fell in November from the previous month, customs data showed. Crude oil imports in rose as customs continued to clear a backlog.
China has overtaken the U.S. to become the EU's biggest trade partner while the rest of the world slides into the red due to the Covid-19 pandemic.
The country pushed past the United States in the third quarter to become the European Union's top trade partner, as the pandemic disrupted the US while Chinese activity rebounded.
Over the first nine months of 2020, trade between the EU and China totalled 425.5 billion euros ($514 billion), while trade between the EU and the United States came in at 412.5 billion euros, according to Eurostat data.
These figures show the year-on-year change in GDP for some of the world's richest countries, with China's economy larger than it was a year ago while others have seen massive decline
For the same period in 2019, the EU's trade with China came in at 413.4 billion euros and 461 billion euros with the US.
Eurostat said the result was due to a 4.5 percent increase in imports from China while exports remained unchanged.
'At the same time trade with the United States recorded a significant drop in both imports (-11.4 percent) and exports (-10.0 percent),' Eurostat said.
The EU has been China's top trade partner since 2004 when it overtook Japan, but this is the first time the inverse has been true, France's Insee statistics agency said Wednesday.
After a Covid-19-related shock in the first quarter the Chinese economy has rebounded, with the economy growing year-on-year in the third quarter.
Insee said Chinese imports from Europe picked up in the third quarter, while purchases of personal protective equipment had boosted Chinese exports.
Workers are seen during the production process of wind turbines during a government organised tour at Goldwind Technology in Yancheng, in Jiangsu province on October 14
China's economy has grown 4.9 per cent in the third quarter from last year proving the country is back to its pre-pandemic trajectory with consumer spending and industrial production going back to normal levels.
The figures are far more favourable than the dire economic data coming out of most Western countries, showing how China has bounced back quickly despite being the first country to suffer the coronavirus outbreak.
As the virus spread across the globe, China started to bring the outbreak under control and began to reopen its economy, growing 6.8 per cent in the first quarter of this year, and 3.2 per cent in the April-June quarter.
China has been widely condemned for its handling of coronavirus.
After initially covering up the outbreak, Beijing obscured an investigation into how it started and published infection rates which have been widely questioned and partly blamed for the West's slow response to prepare for the pandemic.
Since China fought off the outbreak, Chinese firms have taken advantage of their good fortune while their global rivals grapple with reduced manufacturing capacity.
Chinese firms have benefited from strong global demand for masks and medical supplies, with exports rising 9.9 per cent in September from a year earlier while factory activity also picked up.
The country's technology sector has also taken advantage of the work-from-home phenomenon with apps including DingTalk and WeChat bringing in huge revenues.
Now the International Monetary Fund is projecting China's economy to expand by 1.9 percent in 2020 which means it'll be the only major world economy to grow this year.
It comes as a new study that found traces of coronavirus in US blood samples from December last year is adding to the growing evidence that the virus was circulating for months before China announced its existence, casting more shadows over the truth about the pandemic and fuelling suspicions of a cover-up by Beijing.
Claims the global outbreak began in a livestock market in Wuhan last winter have crumbled in the face of scientific evidence proving the virus was all over the Western world weeks and even months before China declared the first cases to the World Health Organization on December 31.
Research published on Monday revealed that 39 blood samples taken between December 13 and 16 last year in California, Oregon and Washington state had tested positive for Covid antibodies, meaning the people who gave them had been infected weeks earlier.
The evidence is the earliest trace so far of the virus on US soil, and a further 67 samples from between December 30 and January 17 tested positive in Connecticut, Iowa, Massachusetts, Michigan, Rhode Island and Wisconsin.
It adds to a growing body of proof that the virus had spread thousands of miles outside of China long before its existence was acknowledged. Scientists in Italy say they now have proof the virus was there in September 2019, traces of it were found in Brazil in November, a French hospital patient had it in his lungs in December, and the virus was present in sewage in Spain in January.
Over the years, the vacation rental industry became a huge business, with millions of tourists choosing fully furnished homes or apartments instead of a traditional hotel or motel experience.
However, the COVID-19 outbreak caused an enormous financial hit to the entire market, cutting down revenues of both the big players like Airbnb or Booking.com and smaller vacation rental owners and property managers.
According to data presented by Stock Apps, the revenue of the global vacation rental industry is expected to plunge by $35bn in 2020, a 42% drop year-over-year.
Airbnb, Booking.com, and Expedia Witnessed a 90% Plunge in Reservations
The vacation rental segment includes private holiday homes and houses and short-term rental of private rooms or flats through online marketplaces like Airbnb and Booking.com or in travel agencies.
In 2017, the entire industry generated $78.7bn in revenue, revealed the Statista data. In the next two years, this figure rose by 7% to almost $84bn.
However, vacation rental companies had a rough start to 2020. After a promising first few weeks of 2020, the initial wave of the COVID-19 caused massive cancellations of stays, with even the market’s biggest players witnessing colossal reservation drops.
In week 14 of 2020, short-term rental bookings on the Expedia platform saw a 94% drop year-over-year. Two other travel industry giants, Airbnb and Booking.com, followed with a 93% and 91% plunge, respectively. The strong negative trend continued between June and September after the coronavirus pandemic ruined what is typically a peak summer travel period.
As of week 35, there was a 62% YoY drop in short-term rental bookings on the Airbnb platform. However, Booking.com and Expedia witnessed even more significant losses, with their reservations plunging by 66% and 86% in this period.
Statista data show the global vacation rental industry is expected to witness a recovery in 2021, with revenues growing by 36.7% to $66.9bn, still $17bn under 2019 levels. In the next three years, this figure is forecast to rise to $88.4bn.
The average revenue per user in the vacation rental segment is forecast to amount to $111.1 in 2020, a slight increase in a year. By 2025, this figure is expected to rise to $117.
The Number of Users to Plunge by 42% to 445 Million
Although the initial wave of the COVID-19 caused massive reservations drops in the first months of 2020, statistics show the number of users is expected to stay deep below the last year’s levels.
In 2017, almost 750 million people chose vacation rentals instead of hotels and motels. Over the next two years, this figure rose to 777 million.
However, Statista estimates the number of users in the vacation rental segment to plunge by 42% YoY to 445 million in 2020 and remain under 2019 levels in the next three years.
In global comparison, the United States represents the world’s largest vacation rental market, expected to generate $9.5bn in revenue in 2020, a 45% plunge in a year.
To fight the spread of COVID-19, some US states placed restrictions on short-term rentals, which caused massive complaints from the companies operating in the market. In Florida, property owners and a vacation rental management company even filed a federal lawsuit against the governor, accusing him of violating their constitutional rights.
The Chinese market, the second-largest globally, is forecast to witness a 43.5% drop YoY, with revenues falling to under $5.3bn. Japan, the United Kingdom, and Germany follow, with $3.2bn, $2.6bn, and $2.5bn in revenue in 2020, respectively.
It’s been 20 years since the Forum on China-Africa Cooperation was first held. Another summit is planned for September 2021 in Dakar, Senegal. Meanwhile, Chinese and African officials are reviewing and reflecting on their two-decade relationship.
China-Africa relations are mostly organised via government to government relations. But the perceptions and wellbeing of ordinary people also need to be better considered.
In 2016 the pan-African research institute Afrobarometer published its first study on what Africans think of their governments’ engagement with China.
The study found that 63% of citizens surveyed from 36 countries generally had positive feelings towards China’s assistance. Some things that stood out were China’s infrastructure, development, and investment projects in Africa. On the flip side, perceptions of the quality of Chinese products tarnished the country’s image.
In 2019/20, Afrobarometer conducted another wave of surveys. Data from 18 countries – gathered face-to-face from a randomly selected sample of people in the language of the respondent’s choice – was collected before the COVID-19 pandemic. The survey questions covered how Africans perceive Chinese loans, debt repayments, and Africa’s reliance on China for its development.
Preliminary findings show that the majority of Africans still prefer the US over China as a development model, that China’s influence is still largely considered as positive for Africa, and that Africans who are aware of Chinese loans feel that their countries have borrowed too much.
This is important because – as both African and Chinese leaders reflect on their engagement – these findings should allow them to build a forward-looking relationship that better reflects African citizens’ opinions and needs.
US vs China
The surveys found that Africans still prefer the American development model over the Chinese one. The Chinese development model hinges on state-led policy planning while the American model emphasises the importance of the free market.
Across the 18 countries surveyed, 32% preferred the American development model, while 23% preferred the Chinese model. Overall, this hasn’t changed much since 2014/15, but a few country-level shifts emerge.
In Lesotho and Namibia, the US has surpassed China as a preferred development partner. In Burkina Faso and Botswana, China is preferred. Angolans and Ethiopians, who were not included in the 2014/15 survey, are partial to the American model. However, 57% of Ethiopians and 43% of Angolans believe that China’s influence is having a positive impact on their countries.
Analysts have argued that the Chinese development model is dynamic and multifaceted. It has changed over time depending on the context and period. African governments need to decide what aspects of the Chinese model are best for their countries.
A closer look at responses from the 2014/15 and 2019/20 surveys shows that in countries where China has invested mainly in infrastructure, perceptions have held steady or become more positive. This includes Ghana, Nigeria, Uganda, Guinea and Côte d’Ivoire.
China’s popularity rises in the Sahel
Strategically, China has been deeply involved in security and development activities, infrastructure projects connected to the Belt and Road Initiative, and peace and security operations in the region.
In Burkina Faso, for example, the popularity of China’s development model has almost doubled, from 20% to 39%, in the five years since the previous survey.
In Guinea, where Chinese companies are mainly involved in mining projects, 80% of citizens perceive China’s economic and political influence as positive – four percentage points up from five years ago. Overall, China’s growing involvement in the Sahel region seems to have had a strong impact on citizens’ views.
Economic fortunes and debt repayment
A majority of African citizens say China’s economic activities have “some” or “a lot” of influence on their countries’ economies. But the perceived influence has declined from 71% in 2014/15 to 56% in 2019/20 across the 16 countries surveyed in both rounds.
And while six in 10 Africans see China’s influence on their country as positive, this perception has declined from 65% to 60% across 16 countries. Instead, regional African powers, regional and United Nations organisations, and Russia scored well in perceived positive influence. Russia was perceived well by 38%.
This could be a reflection of Russia’s growing political, economic, and security engagement with Africa, as well as the role of Russian media such as Russia Today and Sputnik. A recent study on digital media content in francophone West Africa revealed how the digital content these media houses produce quickly seeps into African media spaces.
The Afrobarometer survey revealed that less than half (48%) of African citizens are aware of Chinese loans or financial assistance to their country.
Among those who said they were aware of Chinese assistance, more than 77% were concerned about loan repayment. A majority (58%) thought their governments had borrowed too much money from China.
In countries which received the most Chinese loans, citizens expressed worry about indebtedness. This included Kenya, Angola and Ethiopia. In those countries, 87%, 75%, and 60% of citizens respectively were concerned about the debt burden.
The latest Afrobarometer data provides lessons both for analysts of Sino-African relations and African leaders.
First, there is no monopoly or duopoly of influence in Africa. Beyond the United States and China, there is a mosaic of actors, both African and non-African, that citizens consider to have political and economic influence on their countries and their futures. These actors include the United Nations, African regional powers and Russia.
Survey findings show that although Chinese influence remains strong and positive in citizens’ eyes, it is less than it was five years ago. This decline might also be linked to perceptions of loans and financial assistance, framed by the ‘debt-trap’ narrative and allegations of Chinese asset seizures.
Once fieldwork resumes, future Afrobarometer surveys in additional countries may shed light on ways in which the pandemic and China’s ‘corona diplomacy’, and media reports on the mistreatment of African citizens in Guangzhou, have affected the hearts and minds of African populations.
The value of global trade is set to fall by 7% to 9% in 2020 from the previous year, despite signs of a fragile rebound led by China in the third quarter, a United Nations report said on Wednesday.
No region was spared by an estimated 19% year-on-year plunge in world trade in the second quarter, as the COVID-19 pandemic disrupted economies, the U.N. Conference on Trade and Development (UNCTAD) said.
Global trade recovered somewhat in the third quarter, when it was estimated at about 4.5% less than in the same period a year ago, the agency said in its latest update.
"Trade in home office equipment and medical supplies has increased in Q3, while it further weakened in the automotive and energy sectors," UNCTAD said. Growth in the textiles sector was also strong.
Its preliminary forecast put year-on-year growth for Q4 2020 at 3% less, but the report said that uncertainties persisted due to how the pandemic would evolve.
If the pandemic resurges in coming months, that could lead to a deteriorating environment for policy-makers and sudden increase in trade restrictive policies, it said.
China's exports rebounded strongly in the third quarter after falling in the early months of the pandemic, and have posted year-on-year growth rates of nearly 10%, UNCTAD said.
"Overall, the level of Chinese exports for the first nine months of 2020 was comparable to that of 2019 over the same period," it said.
Chinese demand for imported products recovered following a decline in Q2 2020, contrary to other major economies, it said.
Earlier this month the World Trade Organization (WTO) upgraded its forecast for trade in goods due to improvements from June and predicted a drop of 9.2% for 2020.
But it saw a more muted rebound in 2021, with further lockdowns from a second wave of COVID-19 infections posing clear risks.
China is preparing to launch an antitrust probe into Google, looking into allegations it has leveraged the dominance of its Android mobile operating system to stifle competition, two people familiar with the matter said.
The case was proposed by telecommunications equipment giant Huawei Technologies Co Ltd last year and has been submitted by the country’s top market regulator to the State Council’s antitrust committee for review, they added.
A decision on whether to proceed with a formal investigation may come as soon as October and could be affected by the state of China’s relationship with the United States, one of the people said.
The potential investigation follows a raft of actions by U.S. President Donald Trump’s administration to hobble Chinese tech companies, citing national security risks.
This has included putting Huawei on its trade blacklist, threatening similar action for Semiconductor Manufacturing International Corp and ordering TikTok owner ByteDance to divest the short-form video app.
It also comes as China embarks on a major revamp of its antitrust laws with proposed amendments including a dramatic increase in maximum fines and expanded criteria for judging a company’s control of a market.
A potential probe would also look at accusations that Google’s market position could cause “extreme damage” to Chinese companies like Huawei, as losing the U.S. tech giant’s support for Android-based operating systems would lead to loss of confidence and revenue, a second person said.
The sources were not authorised to speak publicly on the matter and declined to be identified. Google did not provide immediate comment, while Huawei declined to comment.
China’s top market regulator, the State Administration for Market Regulation, and the State Council did not immediately respond to requests for comment.
The U.S. trade blacklist bars Google from providing technical support to new Huawei phone models and access to Google Mobile Services, the bundle of developer services upon which most Android apps are based.
Google had a temporary licence that exempted it from the ban on Huawei but it expired in August.
It was not immediately clear what Google services the potential probe would focus on. Most Chinese smartphone vendors use an open-source version of the Android platform with alternatives to Google services on their domestic phones. Google’s search, email and other services are blocked in China.
Huawei has said it missed its 2019 revenue target by $12 billion, which company officials have attributed to U.S. actions against it. Seeking to overcome its reliance on Google, the Chinese firm announced plans this month to introduce its proprietary Harmony operating system in smartphones next year.
Chinese regulators will be looking at examples set by their peers in Europe and in India if it proceeds with the antitrust investigation, the first source said.
“China will also look at what other countries have done, including holding inquiries with Google executives,” said the person.
The second source added that one learning point would be how fines are levied based on a firm’s global revenues rather than local revenues.
The European Union fined Google 4.3 billion euros ($5.1 billion) in 2018 over anticompetitive practices, including forcing phone makers to pre-install Google apps on Android devices and blocking them from using rivals to Google’s Android and search engine.
That decision prompted Google to give European users more choice over default search tools and giving handset makers more leeway to use competing systems.
Indian authorities are looking into allegations that Google is abusing its market position to unfairly promote its mobile payments app.
Angola's debt to China is estimated at USD 20.1 billion, and is the country's largest creditor, said Finance Minister Vera Daves on Friday.
Of this amount, USD10 billion was used to capitalize the Angolan oil company Sonangol and the remaining USD 10.1 billion to finance various investment projects.
Speaking at a press conference, Vera Daves said that the issue of China's financing to Angola has generated a lot of controversy when analyzing the quality of the works carried out by Chinese contractors.
However, the minister explained that the quality of the works does not depend on the creditor - Chinese banks - but on the Angolan State that must inspect them, and on the contractors.
Vera Daves said that upon payment, the paying bank is based only on the invoices presented on the execution of the works. The bill is paid in China and the money does not circulate in the Angolan economy.
"There is always a very strong debate about deliverables, the quality of the works. This does not depend on the financier but on the relationship between the Angolan State and the contractors", she said, explaining that the financing entity, which is a bank, focuses on the invoices and not on the walls.
As for the debt service with China for 2020, standing at USD 2. 678 million, the minister said that the amortizations represent 78.8%, that is 2,103, while interest represents 21.2% (567 million).
She explained that the debt with that Asian giant is commercial and is paid in deadlines of up to eight years, unlike that with the IMF, which allows negotiation of interest rates and repayment terms.
On the discharge of the public debt, estimated at about 90% of GDP and 60% of the General State Budget 2020 (AKz 13.5 billion), ie, USD 5 billion, according to analysts from the Fitch Rating Agency, the director of Public Debt, Valter Pacheco, Angola needs at least 29 years.
However, the official explained that this is just a hypothetical example should the country no longer incur any debt. But this is not the case because the country needs to finance itself to meet needs.
"We will continue to go into debt, but in a more productive and responsible way. Angola will have to continue to finance itself, but with lower interest rates and longer terms ", said the official.