Angola has recovered the USD 200 million in guarantees it was required to deposit with JPMorgan in April. The news was reported by Reuters, citing information provided by Angola’s Ministry of Finance.
In a statement to the news agency, the Ministry said: “The improvement in the price of Angola’s Eurobonds has had a positive impact, allowing the amount paid in compliance with the margin call to be returned to the State. This reimbursement already took place in May.”
In December of last year, Angola secured a USD 1 billion loan from JPMorgan with a one-year term, structured as a total return swap and backed by USD 1.9 billion in government bonds.
At the beginning of April, JPMorgan demanded additional guarantees from Angola following a drop in oil prices, which was triggered by tariffs imposed by U.S. President Donald Trump. This price drop negatively affected the value of the Angolan bonds used as collateral.
According to Reuters, the price of the collateral bond for the JPMorgan loan fell from 100 cents on the dollar at the end of March to a low of 86 cents during the sell-off in early April, when the margin call was triggered, before recovering to March levels.
Source: O Novo Jornal
