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Angola to cap rent increases at inflation from 2027

By , based on Expansão

Angola to cap rent increases at inflation from 2027Illustrative image · Đặng Thanh Tú · Pexels · Licence Pexels

Angola’s proposed 2027 budget limits rent increases to the previous year’s inflation rate, estimated at 8.6% for 2026. According to Expansão, which consulted the document submitted to the National Assembly, the measure will be monitored by economic inspectors, while experts fear rises as soon as new contracts are signed.

The Angolan government proposes capping rent increases from 2027 at the level of the previous year’s inflation. According to the draft 2027 general state budget submitted to Parliament, reported by the newspaper Expansão, this inflation is forecast at 8.6% for 2026.

The executive presents this measure as a way to combat speculation and protect consumers, in a market where informality weighs heavily, particularly for the rental of houses and offices. Economic inspection authorities would be responsible for monitoring it.

Professionals in the sector, quoted by Expansão, believe the ceiling could curb speculation, but fear the opposite effect: landlords could raise rents every year and increase amounts as soon as new contracts are signed. They also note that inflation could remain below 10%, the rate usually applied to rent increases, which would benefit tenants but could penalise landlords.

Law No. 26/15 of 23 October 2015 on urban leases already provides for the executive to set rent revision coefficients each year, taking into account the consumer price index for the 12 months preceding 31 August. The annual inflation rate had fallen to 8.43% in September.

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