Angola’s largest non-petroleum-based company, Escom continues to build its presence in Africa
Q. Angola’s political and economic situations have never been better and are improving. Do you think the country is transforming its economic model?
A. First let me say that the greatest achievement for Angola was not economic, but that we achieved peace in 2002 after a war that ravaged the country. It was peace that allowed the return of Angola as a regional power in Africa.
Q. Some have called Angola the El Dorado of Africa. Hyperbole?
A. I think it’s maybe a little too much enthusiasm. Angola is clearly experiencing a period of sustained growth. It grew at high rates in recent years, but now we have entered a phase where growth will slow to the pace of 6-10% per year for the coming years. Angola is not El Dorado, but it is certainly a country that is building an economy based on very solid foundations, not limited to the oil sector. Mining, energy and agriculture are also key areas for development in the country and in Africa, and Angola has great abilities in these sectors.
Q. Has the inflow of FDI helped change attitudes about the country?
A. Changing international perception of the Angolan reality is a process that will happen over the next years, based on a realistic commitment to the sustainable development of Angola’s economy. It is this change that will allow us to attract more foreign investment and increase international cooperation, which are two key factors in Angola’s development as a better economy.
Q. Why, in 2008, did Escom quit aviation and fisheries to strengthen its position in diamonds and oil?
A. We redesigned Escom in order to rationalize our investments. As mentioned earlier, investments in fisheries and aviation were made in times of war and in completely different circumstances.
In 2003, a year after we achieved peace, we decided to do a thorough restructuring, splitting Escom in five major areas of investment, which are our core businesses: mining, real estate, infrastructure and structures, energy, and oil and gas.
Escom is present in the oil and gas sector through an effective participation of 2.5% in block 18/06, a deepwater block currently undergoing exploration.
Q. Do you agree with the concept of U.S. companies establishing partnerships with Angolan ones to enter the ‘Golden Triangle’ market?
A. The partnership with American companies is vital to the development of Africa in general and Angola in particular.
In this regard, at ESCOM we try to act as a catalyst linking foreign investors with the fast-growing Angolan economy.
Moreover, in Angola there is a great expectation for the deepening of cooperation with the U.S. business sector, which goes beyond the partnerships established in the oil sector.
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