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  Angola's Choice: Reform Or Regress

Luanda/Brussels, 7 April 2003: For the first time since independence, economic and political reform has become a strategic imperative for the government of Angola. After four decades of war, this is very welcome. But reform will not come quickly and requires a long-term strategy of international engagement.

A new report* published today by the International Crisis Group, Angola's Choice: Reform or Regress, sets out policies to encourage a democratic post-war transition and fiscal transparency – especially in the oil sector. The report also urges economic diversification beyond oil, more equitable distribution and use of land, and poverty reduction strategies.

There are a host of factors encouraging the government to pursue a reform agenda, not least of which are upcoming elections that require the ruling party, the Popular Movement for the Liberation of Angola (MPLA), to seek electoral support. Freed from war imperatives, the government is keen to enhance its international image and assume its place on African and world stages. President dos Santos also wishes to enhance his legacy – all of which creates a reform logic.

However, the war left many destructive legacies, which are deeply felt in regional and ethnic inequality. If the government response to the needs of internally displaced people and former UNITA insurgents is inadequate, the seeds of future instability and warlordism could be sown. Corruption is a serious problem, and vested interests undermine reform at every turn. Decades of war and associated atrocities make reconciliation difficult. A history of external intervention and exploitation also makes the government resistant to meeting international preconditions for engagement and aid.

ICG Africa Program Co-Director John Prendergast said:
"Quiet engagement and partnership – especially by donors and oil companies – is the most effective way to influence government reform positively. The government's strong desire for a donor's conference in 2003 also offers a significant opportunity to engage and support the reform process".

Transparency and accountability in the oil sector will be crucial to Angola's future development and stability. But it should also be remembered that transparency is a two-way street that requires greater accountability on the part of major investors as well.


MEDIA CONTACTS
Katy Cronin (London) +44-(0)20 7981 0330
email: [email protected]

Francesca Lawe-Davies (Brussels) +32-(0)2-536 00 65
Jennifer Leonard (Washington) +1-202-785 1601
*Read the full ICG report on our website: www.crisisweb.org


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