Luanda: The national currency, the kwanza, maintained a stable trajectory against the US dollar up to August this year and recorded a slight appreciation against the euro, interrupting a depreciation cycle that began in 2022, according to the National Bank of Angola (BNA).
According to Angola Press News Agency, central bank data revealed that the average exchange rate of the US dollar stood at 912.634 kwanzas per dollar in the first eight months of 2026, consolidating the stagnation in exchange-rate movements after four years of pressure. Cumulatively, the average exchange rate of the US dollar rose from 460.290 kwanzas in 2022 to the current 912.634 kwanzas, representing a cumulative increase of 98.3% over the period under review.
The report indicates that the performance recorded up to August 2026 marks a turning point in the country's exchange-rate trajectory. After significant increases in 2023, at 44.96%, and 2024, at 30.72%, the pace of depreciation slowed considerably in 2025, with the average exchange rate standing at 912.286 kwanzas per US dollar, representing a 4.76% change. Between January and August 2026, the average rate adjusted by just 0.04% compared with 2025, confirming the consolidation of the kwanza's stability in the domestic foreign exchange market.
As regards the euro, the trend has reversed. The European currency rose from an average rate of 686.290 kwanzas in 2022 to a peak of 1,073.251 kwanzas in 2025, representing a cumulative increase of 55.2% over the period. According to the document, the average rate recorded up to August 2026 fell to 1,065.411 kwanzas per euro, representing a 0.73% decrease compared with 2025 and reflecting a slight appreciation of the national currency.
The report also highlights that the exchange-rate stability achieved is a key factor for the national economy, given its direct impact on the cost of imported goods and services, investment decisions, companies' external obligations, and foreign-currency-denominated debt servicing. According to the document, this slowdown results from a combination of macroeconomic factors, notably the availability of foreign currency from the oil sector, the relationship between supply and demand in the market, the level of international reserves, and the monetary policy implemented by the BNA.
For the BNA, developments in the foreign exchange market during the final four months of the year will be crucial in determining whether the kwanza consolidates this period of stability or comes under renewed depreciation pressures, in clear contrast to the pattern recorded between 2022 and 2025.
