A historic agreement for sustainable investment

One of the highlights of the 2nd Angola-EU Business Forum will be the signing of the European Union-Angola Sustainable Investment Facilitation Agreement (SIFA), the first document of its kind to be signed between the European Commission and a country at global level. The agreement promotes long-term investment and represents a mutual commitment to strengthening economic relations between the two regions.

Key elements of SIFA

1. Facilitate investments:
  • Improving the transparency and predictability of investment-related measures, for example by publishing all investment laws and conditions and promoting the use of single information portals for investors.
  • Simplifying investment authorization procedures and promoting e-government.
  • Facilitating interactions between investors and management, establishing points of contact and consultations with stakeholders.
2. Make investments more sustainable:
  • Promoting sustainable development, including commitments to the effective implementation of international agreements on work and the environment, such as the Paris Agreement.
  • Promoting responsible business conduct through the adoption of international standards in companies.
  • Strengthening bilateral cooperation in aspects related to investment in climate change policies and gender equality.
  • Ensuring dialogue with civil society on the implementation of the agreement.

More information about SIFA

  • Text of the EU-Angola Sustainable Investment Facilitation Agreement | EN
  • Fact sheet on investment facilitation in Africa | EN
  • Factsheet on the EU-Angola Sustainable Investment Facilitation Agreement | PT - EN

Other agreements

Economic Partnership Agreement

The EU signed an Economic Partnership Agreement (EPA) on June 10, 2016 with the SADC EPA Group, made up of Botswana, Lesotho, Mozambique, Namibia, South Africa and Eswatini. This agreement became the first regional EPA in Africa to come into operation, with Mozambique implementing it from February 2018.

The EPA guarantees asymmetrical treatment of the partners in the EPA-SADC group: they can protect sensitive products from total liberalization and safeguards can be implemented when imports from the EU grow too quickly. In addition, the EPA offers the countries of the EPA-SADC group more advantageous conditions of access to the European market, including the elimination of quotas or tariffs. Finally, the agreement allows for the protection of products with a controlled designation of origin produced by the partners in the EPA-SACD group.

In order to complement the EU-Angola Sustainable Investment Facilitation Agreement and to promote Angola's commercial integration into continental and regional markets, the EU supports Angola's accession to the EU-SADC Economic Partnership Agreement, which has been under negotiation since June 22, 2001.

To support Angola's accession to the EU-SADC EPA, a Sustainability Impact Assessment (SIA) was carried out, which also covers the Sustainable Investment Facilitation Agreement. The SIA concluded that Angola's accession to the EPA would have a positive impact, especially in the long term. It will complement the dynamization of the African Continental Free Trade Area (AfCFTA) and contribute to the consolidation of regional integration processes on the continent. For Angola to benefit fully from the agreements, a combination of assistance from the EU (and/or EU member states) and a commitment on the part of the Angolan government to implement the necessary reforms is essential.

Review of Angola's Investment Policy

The EU also supported the Review of Angola's Investment Policy, drawn up by UNCTAD. The study identifies several gaps and blockages that affect the country's ability to take full advantage of its strategic location, abundant natural resources and preferential access to foreign markets. The most relevant are the complex system for entering and establishing FDI, onerous operational regulations, the persistence of restrictive commercial practices and a lack of institutional capacity and coordination.

The Review pays particular attention to investment in agribusiness and calls for concrete measures to promote responsible investment, foster inclusive agricultural production modes and contribute to sustainable development. The recommendations stress the need to strike a political balance between food security and export development objectives, improve access to land and infrastructure and promote entrepreneurship and skills development.