The Angolan economy is expected to grow by 1.3 percent in 2016, according to the latest estimate provided by the African nation’s Finance Ministry.

It was significantly lower than the previous official forecast of 3.3 percent for this year. The revision was due to plunging oil prices, news agency Reuters reported.

The Ministry said in a public communiqué this week – quoted by Reuters – the forecast number for government revenue this year has been reduced to US$18 billion from US$24.4 billion. Spending will be cut accordingly, to US$24 billion from US$30 billion.

The Ministry stressed the authorities were still committed to a structural overhaul of the economy. Currently it is heavily reliant on oil exports.

Between November 2015 and June 2016, Angola took on fresh debt amounting to US$11.46 billion. The tally included new loans of US$5 billion from the China Development Bank and US$2 billion from other Chinese state-backed lenders, the Ministry was quoted as saying.