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Spurring trade to boost an economy still reeling from the 2014 crude oil price collapse will be the focus of Lourenco's talks with South African Jacob Zuma, head of sub-Saharan Africa's most developed economy.
Lourenco is now implementing an ambitious six-month plan that includes consolidating taxes, limiting public debt, improving productivity and attracting foreign direct investment."The new president hopes to change the country's fortunes and quickly address its more pressing challenges," Tiago Dionisio, an analyst at Eaglestone Securities in Lisbon, said by email.
In this photo supplied by South African Communication and Information Services (GCIS), Angolan President Joao Lourenco, left, and his South African counterpart Jacob Zuma, meet in Luanda, Angola, Tuesday, Nov. Zuma is in Angola as head of the inter-governmental organization SADC (Southern African Development Community) to discuss the situation in Zimbabwe.
Transparency International ranks it 164th out of 176 countries in its 2016 global corruption index.
Entrenched patronage systems of Angolan elites, including the dos Santos family, often trump efforts to institutionalize accountability."There is fear among many that the new president will simply install his own unaccountable and secretive system of control over the economy and politics," Markus Weimer, founder of Faktor Consultants in London, said by email. The excitement surrounding his reforms will have worn off and the reality of economic hardship will bite."Lourenco's first diplomatic change was to name a new Angolan ambassador in South Africa, emphasizing the importance of an improved bilateral relationship.
Lourenco's major challenges include Angola's 29 percent inflation and 26 percent unemployment."Joao Lourenco has been busy consolidating his power in Angola following the smooth transition of power from dos Santos," Alex Vines, the head of the Africa program at Chatham House in London, said by email.
The untroubled transfer of power gives Lourenco "additional authority" in tackling the economic issues, Vines said.colin Angola, Africa's second-largest oil producer and an OPEC member, has grappled for years to reduce its dependence on the oil production that accounts for almost all of its foreign exchange and trade, causing shocks when oil prices plummet.