IBERSOL Annual Report and Consolidated Accounts 2017

The year of 2017 structural reforms contributed towards an improvement in competitive- ness, boosting the growth of exports. The unemployment rate has been falling gradually, but remains high (17.2%), particularly among young people and long-term unemployed, and is expected to fall to 13.5% at the end of 2019. Although it remains robust, lower GDP growth is forecast for 2018 and 2019, due to the expected deceleration of internal demand growth, as the effects of the oil price and low interest rates are dissipated. On the other hand, the political tensions in Catalonia created a climate of some uncertainty, with an expected impact on investment and tourism levels. However, the continued creation of employment and favourable finan- cing conditions should support private consumption and corporate in- vestment. Situation in Angola After a year of stagnant economic growth, data from the Interim Plan prepared by the Angolan Government (measures to be implemented in the period from October 2017 to March 2018) estimates that GDP is ex- pected to have grown 1.3% in 2017, in line with the latest predictions of the IMF and below the objectives initially set out, which pointed to 2.1%. The slight acceleration of economic growth resulted from, in the first half of the year, the recovery of the price of oil and from some relief from the restrictions of foreign currency supply granted by the BNA. Developments in oil sector activity continue to be the biggest constraint to the performance of the economy: average daily oil production is ex- 28