Angola is Africa’s third-largest oil producer and is capturing headlines today not for its immense geographical wealth, but rather for the wave of deadly unrest and crisis echoing the previous civil war. At the heart of the turmoil is a contradiction with the fact that a nation with one of the largest sets of oil reserves is plagued by immense poverty throughout its population.
The poverty crisis reached its breaking point in July of this year when the government decided to slash fuel subsidies, which hiked diesel prices by more than 33% what they previously were. This was not an isolated move but one of the most devastating actions taken thus far in a series of severe austerity measures driven via pressure from the International Monetary Fund (IMF) and an unsustainable debt crisis in Angola. The government’s 2025 budget, ambitiously based on oil at $70 per barrel, was thrown into disarray as global prices plummeted below $60. This drop slashed government revenue in a country where oil accounts for a staggering 60% of national income and over 90% of export earnings.
While the government of Angola argues that these cuts are a bitter but necessary pill for the nation, as subsidies consume over 4% of the nation’s GDP. It was still devastating to the millions of ordinary Angolans, as over 60% of the public is in critical debt. The fuel price hikes instantly rippled through the economy, leading to a surge in the cost of food, transport, and basic goods. This pushed large segments of the population, many already living on less than $3.65 per day, further into a state of desperation.
A three-day strike by minibus taxi drivers, who are the very backbone of urban transportation, ignited some of the most disruptive protests the country has seen since the civil war’s end in 2002. Roads were barricaded, shops were looted, and the streets of the capital, Luanda, were transformed into a battleground between demonstrators and heavily armed police. The government has confirmed a devastatingly grim toll of at least 22 deaths, 197 injuries, and more than 1200 arrests, with dozens of small businesses either destroyed or vandalized.
For many societal leaders of Angola, the intensity of the unrest throughout July was simply a very chilling reminder of past conflicts. Julio Candero of the Mosaiko Rights Group described the violence as the most severe since the bloody post-coup period of 1977 and the election violence of 1922, which were both pivotal moments in Angola’s 27-year civil war. While the recent protests did not reach the catastrophic death tolls of that era, the level of public outrage and the state’s brutal repression were unmistakable. Reports of police firing into crowds and using excessive force have sparked condemnation from local activists and international rights groups.
The protests quickly evolved from a conflict over some oil prices to collective anger over decades of economic failure due to systemic mismanagement. The current high unemployment rate at a staggering 30% for the public and over 50% for the youth of Angola, paired with persistent food insecurity, rampant corruption, and a deeply entrenched political elite enriched by the country’s revenue while the majority suffers in extreme poverty, are all critical factors in fueling the public fury. “Temos fome”- “We are hungry” is the loudest cry you will hear throughout the streets of Angola as frustration keeps boiling over.
Angola’s over-reliance on oil has proven to be its greatest vulnerability. Revenue shocks immediately trigger public sector cutbacks, the suspension of vital infrastructure projects, and fiscal crises. The country’s energy sector is further strained by the fact that only 30% of its domestic fuel demand is met by its primary refinery, whilst the rest of it must be imported. Despite repeated promises, government attempts at economic growth have consistently fallen short.
External factors have also compounded the problem. Shifts in global trade policy, including U.S. tariffs and ongoing oil price volatility, caused Angola’s carefully constructed budget to implode almost overnight. The government is now faced with the prospect of seeking further borrowing.
The removal of fuel subsidies has had a catastrophic effect on daily life. Transport costs have surged up to 4,000 kwanza (about $4.36) per day for workers, which is a devastating sum that exceeds the daily earnings of more than half the population. The price of basic food staples has spiked dramatically, with some items like eggs reportedly increasing by up to 400%. Civil society advocates and international observers warn that these economic shocks are creating a nutritional and humanitarian crisis, particularly for Angola’s most vulnerable citizens.
Critics argue that the timing of these subsidy reforms, coinciding with hikes in electricity and water rates, was disastrous. They point to years of mismanagement by the ruling MPLA party, contending that wasteful spending and corruption should have been addressed long before basic subsidies were withdrawn from the population.
Compounding these economic and social challenges, renewed violence has erupted in the oil-rich and historically restive province of Cabinda. Armed clashes between the Angolan military and FLEC-FAC separatist rebels have claimed dozens of lives in 2025, marking the deadliest year in nearly a decade. Security forces have been accused of cracking down on both suspected militants and civilians, further destabilizing the region.
Economic experts insist that subsidy reforms must be implemented gradually, accompanied by targeted support for the poorest citizens and comprehensive impact assessments. International organizations, including the World Bank, are urging cash transfers and safety nets to protect the population from immediate hardship. Without such measures, Angola risks deepening inequality and instability and even potentially a tragic return to broader civil conflict.
Written by Aniruddh Sajan
