Luanda, Aug. 13, 2024 (Lusa) - Banco Económico (formerly BESA) will pay off part of its debts to the Angolan state by handing over three properties, according to a presidential order that invokes the public interest to accept the donation proposed by the financial institution.

According to presidential order no. 177/24, dated 9 August, the debt will be paid in exchange for an urban building with a gross area of 212 square metres located in the city of Caxite (Bengo province), another of 316 square metres, in the Nova Vida urbanisation, and a third property, with an area of 426 square metres, both in the city of Luanda.

The value of the properties is not mentioned.

The decree delegates power to the minister of justice and human rights to implement the provisions of the decree and to register the three properties in the name and interests of the Angolan state.

Banco Económico inherited the assets of the now defunct Banco Espírito Santo Angola, which was liquidated after 2014 with a large portfolio of non-performing loans, estimated at $5.7 billion (€5.21 billion).

The Angolan state took control of the financial institution and injected capital of $3 billion (€2.7 billion), which was declared insolvent.

Banco Económico is currently undergoing an independent evaluation which should be finalised this month and which will determine the future of the banking institution.

RCR/ADB // ADB.

Lusa