Africa-Press – Angola. The process of transition from the informal to the formal economy passes, as of Tuesday, to the responsibility of provincial governments and municipal administrations, under the operational coordination of the National Institute of Support to Micro, Small and Medium Enterprises (INAPEM ).
This decision was taken by the multisectoral commission of the Informal Economy Reconversion Program (PREI), which approved the new paradigm of transition from the informal to the formal economy.
Previously, PREI was under the direct responsibility of the Ministry of Economy and Planning (MEP).
According to a press release from the Ministry of Economy and Planning (MEP), the main objective of this transition is to guarantee the sustainability of the PREI and encourage business growth so that they can be eligible for other Government programs .
At the meeting of the multisectoral committee, says the document, it was also agreed to divide the formalization process into stages, and the process of granting micro-credit into stages that suit the level of economic activity to be formalized.
For example, the note advances, economic agents with lower incomes may be exempt from certain taxes and interest, reducing the time required for tax and social security contributions to access microcredit.
With regard to micro-credit, the new paradigm defines three levels – the first ranges from 50,000 to 500,000 kwanzas (Kz), with exemption from contributions.
The second tier is from 500,001 to 2,500,000 kwanzas, with an obligation of three months of contributory and tax payments.
The third and last tier ranges from two million and 500 thousand and one to seven million kwanzas, with an obligation of six months of contribution.
During the meeting, topics such as the integration of PREI with other Government programs, the implementation of public-private partnerships in municipal markets, and the management model of the Integrated System for Reconversion of the Informal Economy (SIREI) were also discussed.
O encontro juntou os ministros da Economia e Planeamento, da Administração Pública, Trabalho e Segurança Social, do Ambiente, da Acção Social, Família, e Promoção da Mulher, e da Educação.
Fizeram ainda parte da reunião, Secretários de Estado para a Economia, para as Pescas e Recursos Marinhos, para a Ciência, Tecnologia e Inovação, para o Comércio, para os Transportes Terrestres e para o Petróleo e Gás.
Fizeram igualmente parte, o PCA do INAPEM, e representantes do Ministério da Economia e Planeamento, do Ministério das Finanças, do Ministério do Ambiente e do Ministério da Administração Pública, Trabalho e Segurança Social.
Underway since 2020, PREI, an initiative of the Government of Angola, developed by a multisectoral commission coordinated by the Ministry of Economy and Planning, has already formalized 246,189 economic operators in informal markets and in the 18 provinces of the country.
The program has budgetary support from the European Union (EU) and technical assistance from the United Nations Development Program (UNDP).
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