Angola’s property market sailed through the global financial crisis and analysts are now predicting continued growth over the next couple of years.

Property values, more so in the capital Luanda, soared amid an oil-fuelled economic boom that followed the end in 2000 of a 27 years civil war.

Unlike real estate markets in the United States, Britain and elsewhere, which have slumped due to the credit crunch, Angola’s market has floated on heavy inflows of FDI and strong economic growth.

Now Luanda is one of the most expensive cities in the world to live. Basic one-bedroom flats rent at $7,000 a month, while it is common for expatriates to pay $20,000 a month for a flat a bit luxurious. Demand for office space has also tripled in the last three years.

A shortage of modern buildings coupled with growing demand for housing from foreign workers is expected to keep real estate one of the most profitable sectors in Angola after oil.

Angola, which rivals Nigeria as sub-Saharan Africa’s biggest oil producer, has embarked on a massive reconstruction programme since emerging from the war, supported by rising oil production, a jump in world oil prices and billions in foreign investment. Angola’s government says steep falls in world oil prices will not derail its plans to spend billions to fight poverty and spur economic growth.

The country has focused mostly on rebuilding ports, railways and other key infrastructure for the oil-centred economy, but the government has also earmarked funds for the construction of office, apartment buildings and hotels.

The economy grew by around 20 per cent last year and is expected to expand by a further 15 per cent this year. Investors see the country as a stable emerging market with a government that has embraced pro-business policies.