Angolan Government Approves Grant of $11,000 To Each SME And Startup Through Local VC

The Angolan government has approved the injection of 4 billion kwanzas ($6.3 million) into small businesses and startups, as part of the economic measures approved in April 2020 for the opening of a set of lines of credit to productive sectors of the economy.

Angolan Secretary of State for the Economy, Mário Caetano João
Angolan Secretary of State for the Economy, Mário Caetano João

Angolan Secretary of State for the Economy, Mário Caetano João, announced the effective provision of funding of 4 billion kwanzas, or more than 6 million dollars, for micro-businesses. Each small business will be able to benefit from 7 million kwanzas, or about $ 11,000, from this operational fund starting from September 23rd, 2020. 

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The material and technical conditions are in place to inject the money into the microcredit support line. The Angolan Active Venture Capital Fund (FACRA) has already transferred 2 billion kwanzas for microcredit companies and credit unions linked to the project. To have access to it, the entrepreneur must meet the conditions required by said companies.

The sectors concerned are: agriculture, poultry farming, aquaculture, animal husbandry, food processing and beverage production, logistics and distribution of agro-food products, recycling, fishing, transport services, vocational training, software development, tourism, and cultural and artistic production.

This financing comes within the framework of economic measures approved by presidential decree, and aimed at ensuring the maintenance of minimum levels of activity of micro, small and medium-sized enterprises in the formal and informal sectors.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer