Angola: Deadly Protests Expose Economic Problems

Key Takeaways:

• The recurring anti-movement demonstrations have continually highlighted Angola’s questionable political leadership and deep rooted economic challenges.

• The situation places President João Lourenço, and his administration under scrutiny for clamping down on protesters and for police brutality against civilians.

• Although calm has been restored to most areas where violence occurred, the risk of renewed protests remains, as the government has yet to complete the subsidy removal process.

• The level of destruction caused during this protest may worsen the nation’s economic struggles, making recovery even more difficult.

Anti-government demonstration takes a violent turn

During the start of the week, on 28 July 2025, violent protests broke out in Luanda, the capital city, after residents took to the streets to protest a hike in fuel prices. The protest began as a peaceful demonstration after taxi drivers and transport union associations launched a three-day strike from 28 to 30 July 2025. As the day progressed, it turned violent as protesters began looting stores, attacking vehicles, erecting burning tyres to block major roads, and throwing stones at security personnel. The police responded to the demonstrations with force, discharging tear gas. Media sources also reported the use of live ammunition. The protesters also took advantage of the situation to denounce bad governance and corruption in the country. At least 30 people were reportedly killed, including one police officer, more than 200 people were injured, and over a thousand have been arrested. The protests spread outside Luanda, with similar reports in the provinces of Malanje, Bengo, Huambo, and Luanda Norte. This protest follows two similar demonstrations that occurred earlier in July, however, this has been described as the deadliest in recent years. The last time the country witnessed such violent demonstrations was in 2023.

The genesis of Angolans’ frustration

Despite being one of Africa’s oil rich countries, Angola’s economy is suffering as the cost of living rises amid fiscal challenges. In 2023, the government announced that fuel subsidy will be removed to save money and mitigate any unprecedented shocks, a reform backed by the International Monetary Fund (IMF). By implementing this policy, the government could save as much as US$ 3 billion each year, with funds allocated to other sectors. The government began to gradually remove the subsidy, resulting in a continuous upward review of fuel prices in the market. Before the reform, the country was listed among the top five countries for buying cheap fuel. In June 2023, Angolans reportedly bought fuel for around 160 kwanzas (US$ 0.17) per litre, but with the phased withdrawal of the subsidy, they now get it at 400 kwanzas (US$ 0.44) per litre. This latest protest was triggered by the government's most recent increase on 04 July 2025. The above figure shows that prices have more than doubled since 2023. All of these factors, combined with the hardship the country is facing, have contributed to the growing display of frustration among the people.

Troubling effect of Angola’s subsidy reform, hunger in the land

The recent protests clearly demonstrate that the people are displeased with the government, as ongoing price hikes continue to impact their quality of life. They have expressed how difficult it has become to move from one place to another and to buy food or afford basic services. With inflation currently at 20% and a high unemployment rate, many ordinary citizens are feeling the effects of hardship more than ever. Reportedly, an Angolan earns around 70,000 kwanzas (US$ 75) as a monthly salary under the national minimum wage programme, and this amount has remained unchanged since it was approved by parliament in 2024. Making matter worse is fact that the government has yet to fulfil its promise to increase it to 100,000 kwanzas (US$ 109). During the recent deadly protests, around 60 shops were looted, and local sources indicate that most of the affected businesses were supermarkets, warehouses, and food stores. The rioters barely targeted upscale shops, sign of widespread hunger. Although they also vandalised dozens of vehicles, this behaviour seems to reflect anger towards the police’s use of force and to escalate the violence of the protests.

How will this impact the business environment?

According to multiple reports, taxi drivers have increased their fares from 200 kwanzas (US$ 0.22) to 300 kwanzas (US$ 0.34), while some buses now charge their passengers 200 kwanzas (US$ 0.22), compared to 150 kwanzas (US$ 0.17) previously. These changes have automatically affected the cost of food and other items. Local business owners have had to adjust their prices to match the high cost of transportation in order to maximise profit.

The protests have resulted in increased expenses as some establishments now have to pay for repairs to fix damages caused during the demonstrations. During the protests, many businesses including gas stations and offices remaining closed. Some commercial international flights to Angola were cancelled. This may result in losses for these organisations. For example, the urban public transport bus company in Luanda said they lost around US$ 52,000 during the first two days of the protests.

The recurring and disruptive nature of these anti-government demonstrations, if unabated, could raise the country’s risk profile in terms of political stability in the future. This may prompt companies operating in the country to re-evaluate their presence, and likely deter those seeking to expand their operations. Incidents of road blockades may likely affect the flow of goods, resulting in supply chain issues.