Observer – Page 18 – Windhoek Observer

07 Nov

Reserves drop to N$57.1 billion

ObserverObserver Money

CHAMWE KAIRA The Bank of Namibia’s stock of international reserves decreased by 3,7% to N$57.1 billion at the end of September, the central bank announced. The decrease in international reserves was mainly due to Customer Foreign Currency (CFC) withdrawals and higher net commercial banks outflows which was driven by high foreign payments by customers. This level of foreign reserves translated into 3,9 months of import cover, exceeding the international benchmark of three months. Notably, the import cover, excluding imports of oil exploration and appraisal activities, stood at 4,6 months at the end of September, relative to 4,8 months recorded at…

07 Nov

Balancing fiscal responsibility with development

ObserverObserver MoneyGDP growth, Walvis Bay corridor

JOHN-MORGAN BEZUIDENHOUT Namibia is moving into her election period and there have been some levels of uncertainty around the country’s future economic and political paths. More specifically, multinationals are looking for policy certainty for long term hydrocarbon investments to be kick-started. Furthermore, the last year saw Namibian assets being favored due to economic tailwinds and governmental fiscal prudence. However, the government has fallen short on developmental and capital expenditure which could exacerbate inequality and prevent many Namibians from entering the formal economy. Another important factor to consider is that the region is viewing Namibia as a key logistical hub through…

07 Nov

BoN pushes digital transformation for cross-border payments

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CHAMWE KAIRA Namibia is exploring an instant payment solution, officer in charge at the Bank of Namibia, Marsorry Ickua, told the Afreximbank Trade Finance Seminar held in Windhoek. The central bank official announced that over 70 countries are implementing Fast Payment Systems (FPS), and another 20 are in advanced stages. “The solution will position the country to benefit from reduced transaction costs and increased access for all segments of the population, including rural areas and the informal economy. The fast payment solution can be leveraged to enhance cross-border payments, boost trade, and provide greater financial inclusion. Ultimately, this should transform…

07 Nov

Repo rate expected to be cut further

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CHAMWE KAIRA Simonis Storm anticipates a further 25 basis-point rate cut, bringing the repo rate to 7%, at the Bank of Namibia's Monetary Policy Committee (MPC) meeting in December. Simonis expects the Bank of Namibia to take a cautious approach, observing the effects of this easing before any further policy adjustments. Similarly, the South African Reserve Bank (SARB) will hold its next MPC meeting on 21 November, where Simonis expects a comparable 25 basis-point rate reduction. The current repo rate in Namibia is 7.25%, with a prime lending rate of 11.00%. While these levels remain elevated, the recent reduction offers…

07 Nov

NSX gets first oil trading company

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CHAMWE KAIRA Reconnaissance Energy Africa Ltd has announced the dual-listing on the Namibian Stock Exchange and the renewal of Petroleum Exploration Licence 001 onshore Botswana, and an operational update with respect to its exploration activities on Petroleum Exploration Licence 073 onshore Namibia. Brian Reinsborough, President and CEO of the Company stated: “We are excited to be the first publicly traded oil and gas company listed on the NSX. ReconAfrica has the largest acreage position of any publicly traded pure play oil and gas exploration company operating onshore Namibia. We have also extended our licence in Botswana under favourable terms. Most…

07 Nov

Affordable housing key for sustainable development

ObserverObserver Money

CHRISTOFF BAUERNSCHMITT Affordable housing is one of the key aspects for development in Namibia and in response to the country's pressing housing needs, Old Mutual Namibia launched its Housing Fund in August 2024. With an initial capital of N$50 million, the initiative is set to provide critical financial support for affordable housing projects, aimed at addressing the growing demand for accessible and affordable housing in the country. The government set a national target in the Fifth National Development Plan of developing 20 000 houses over a four-year period and mandated the NHE to execute 5 000 houses of that target.…

07 Nov

Paratus completes East-West Africa fibre route

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Paratus Group has completed its East-West Africa fibre route, offering a fast and resilient link to anywhere in the world from anywhere in the southern African region. The Paratus East-West route, the first coast to coast terrestrial route using Paratus built fibre infrastructure, offers an alternative terrestrial route, the current demand for which has been precipitated and expedited by the recent and frequent network outages. As Paratus Group CEO, Schalk Erasmus says: “This sea-change in imperatives has arisen due to breakages in certain subsea cable systems. Operators need a more reliable route and, with our new East-West route, by connecting…

06 Nov

Truck drivers warned to avoid Mozambique

ObserverNational News

Niël Terblanché The Namibian Revolutionary Transport Union (Naretu) has issued a stern warning to truck drivers, advising them to avoid crossing into Mozambique due to escalating post-election violence currently underway in the East African country. Naretu’s president, Petersen Kambinda reported that on Wednesday at least one Namibian truck was torched at the Lebombo border crossing by looters targeting cargo vehicles entering and exiting Mozambique. "One of our drivers was forced out of his truck during the early hours of this morning and was only allowed to remove his personal documents and belongings before the looters set the vehicle on fire,"…

06 Nov

Kavango East education directorate rent halls for exams

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Allexer Namundjembo The education directorate of the Kavango East region has resorted to renting halls as examination venues, citing an inability to accommodate the rising number of students at existing school facilities. The decision to rent external spaces follows refusals from churches in the past to allow the use of their buildings for exams. Christine Shilima, Kavango East’s regional education director, confirmed that the region faces a critical shortage of exam venues due to a lack of school halls. “Schools were built without halls, and we have more learners who can’t fit in classrooms. Due to the rules of exams,…

06 Nov

Inauguration of Chief Hosea Kutako Memorial Shrine postponed

ObserverNational News

Martin Endjala On Wednesday, the Office of the President announced the postponement of the Chief Hosea Kutako Memorial Shrine's inauguration in Toasis, Aminius Constituency to 10 December. According to the Office of the President’s statement issued on Wednesday, President Nangolo Mbumba was set to unveil the shrine at the inauguration ceremony on Friday. The Presidency stated that the postponement is because President Mbumba will be visiting Botswana to attend the swearing-in ceremony of that country’s president-elect, Duma Boko on Friday, 8 November. “The Presidency wishes to apologise for any inconvenience the change of dates for the inauguration of the Chief…