The Republic of Angola has faced several recent economic growth challenges, including a sharp decline in GDP and significant increases in unemployment and its poverty rate. Heavily reliant on oil, the country’s economy was also severely affected by a fall in oil prices, which led to a recession. Finally, the deceleration of the international economy resulting from the COVID-19 pandemic and the war in Ukraine both had the potential to impact Angola’s macroeconomic status, as a worldwide drop in the cereals supply would further distress lower-middle income countries like Angola.

The overall objective of the PREI project is to reduce the informal nature of Angola’s economy while diversifying it and promoting the availability of decent jobs. The programme’s three objectives are to: (1) Ensure that the formalisation policy is sustainable and adapted to the needs of diverse informal economic operators; (2) Scale up formalisation services and incentivise economic operators (both women and men) to join (and remain in) the formal economy; and (3) promote implementation of stabilising macroeconomic measures and key public finance management reforms.

The PREI project is a crucial component of Angola’s strategy for economic diversification, development, and job creation; it aligns with national policies and involves multiple ministries. DT Global promotes coordination, integration, and dialogue among the various stakeholders to achieve programme objectives.

The programme goals are:

• Establish a digital “one-stop shop” platform to streamline interaction with public agencies.
• Coordinate support to revitalize the existing Informal Economy Observatory that seeks to facilitate formalization measures.
• Informal economic operators (especially women) join the economy’s formal sector.
• Support inclusive and gender-sensitive expansion of contributory social security coverage.
• Facilitate simplification of tax regimes so they can appropriately apply to new participants in Angola’s formal sector.
• Increase availability of affordable financial solutions for low-income economic operators through public-private initiatives.

The programme’s implementation follows three phases. Activities during the four-month Inception Phase lay the foundation for future success. Throughout the 48-month Implementation Phase, the Technical Assistance Team incorporates institutional development and capacity-building initiatives to ensure lasting results. The final two-month Closing Phase consolidates results and uses lessons-learned to formulate recommendations for the future.