Banking, Money and Taxes in Angola

Expats are likely to find that banking, money and taxes in Angola can be a little disorientating. While working in the country, you will probably have to get used to new ways of receiving payment, conducting their banking affairs and paying taxes.

Money in Angola

The country’s currency is the Kwanza (Kz or AOA), which is divided into 100 centimos.

The following denominations are available:

• Notes: 5 AOA, 10 AOA, 50 AOA, 100 AOA, 200 AOA, 500 AOA, 2,000 AOA and 5,000 AOA
• Coins: 1 AOA, 2 AOA and 5 AOA

Banking in Angola

In the past, most expats preferred to maintain foreign accounts only and have their salary paid into that account. As of late 2020, all workers from abroad are legally obligated to a local bank account for their earnings to be paid into. Account holders may then transfer the money to another account, such as their overseas bank account, or they can convert the currency if they wish.

Opening a bank account as a foreign worker requires extensive documentation, including the account holder’s passport, work permit, employment contract and residence card or visa. There are more than 20 commercial banks in Angola, so you will have plenty of choice as an expat living in the country.

ATMs

Not all ATMs in Angola allow access to offshore accounts – and when they do, fraud concerns are present, and the charges are exorbitant. You are probably better off using their local account.

Credit and debit cards

A few hotels and restaurants accept foreign credit cards in Angola, but most places don’t. You should reconsider using credit or debit cards in Angola, since safeguards against identity theft aren’t always sufficient. You may also incur additional charges when using an international card.

If having to use cards, you should be vigilant in checking balances online and ensuring all debits reflected in statements are accounted for.

Taxes in Angola

Income tax in Angola is calculated on a progressive scale from zero to 17 percent. Only locally earned income is subject to tax, regardless of whether you are considered a resident for tax purposes or not. This means that expats do not have to pay taxes on money earned outside of Angola, even if they live there permanently.

Nevertheless, tax can be a complicated issue, especially when there is more than one country involved, so we recommend hiring a tax adviser, preferably one familiar with expat taxes.