BMI View: Angola will see a modest recovery in economic growth over 2017 and 2018 on the back of animproving outlook in the all-important oil sector. Although inflation is falling, it remains high and thereforeconsumers will remain extremely price-conscious over the short term. Bread, rice and cereals will continueto form the basis of consumption habits, while in the mass grocery retail sector, discount formats are mostlikely to outperform. With that said, all food and drink categories will record robust growth over ourforecast period due to a combination of low base effects, a youthful expanding consumer base, andincreasing investment in the sector as the economy strengthens.
Key Trends And Industry Developments
In local currency terms, we forecast food sales in Angola to grow by 37.8% y-o-y in 2017, pushed up byhigh inflation as well as stronger economic growth as oil prices tick upwards.