Angola says converting savings into U.S. dollars unlawful

LUANDA, Nov 6 (Reuters) - Angola's central bank on Friday said it was unlawful for citizens to convert their savings in kwanzas, the local currency, into U.S. dollars in a bid to prevent the kwanza from depreciating against the greenback.

Angolans rushed to buy dollars earlier this year on fears that their savings would evaporate on the back of lower oil prices. Angola rivals Nigeria as Africa's biggest oil producer and oil makes up almost 90 percent of its exports.

'As in most parts of the world, the foreign currency is meant to make payments outside the country and they will be made available for that purpose, but not for savings,' said Antonio Andre Lopes, a board member at the central bank.

'That is not allowed, the law does not allow that.'

The kwanza has officially lost 13 percent of its value this year against the dollar but has recovered slightly in the parallel market after the central bank increased the amount of dollars it sells at its daily auctions.

It trades at around 85 per dollar in the formal market and around 90 per dollar in the parallel market.

(Reporting by Henrique Almeida) Keywords: ANGOLA SAVINGS/ (Reuters messaging: [e-mail]; email: [e-mail]; tel [phone]) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.