Blog – Page 4 – Windhoek Observer

03 Mar

Between arithmetic and transformation, fiscal discipline and growth: The budget anchors the ship without charting a new course

Opinions

Paul T. Shipale (with inputs by Folito Nghitongovali Diawara Gaspar) Namibia has just paid off the largest external debt obligation in its history. Yet today, it spends more than twice as much on interest payments as it does on development. That is not a crisis. It is a crossroads. When Finance Minister Ericah Shafudah tabled the N$104 billion 2026/27 national budget, she did not promise miracles. She promised stability. The deficit narrows from 6.6% to 5.5% of GDP. Public debt, projected at 65.2% of GDP, is expected to stabilise and gradually decline. There are no reckless giveaways, no fiscal fireworks,…

02 Mar

No Namibians reported injured in Middle East strikes

National News

Justicia Shipena No Namibian national has been reported affected by the recent US-Israeli attacks in the Middle East, according to the Namibian Embassy in Cairo. The Embassy said it has not received reports of any Namibians directly impacted in the affected areas. It noted that the security situation remains volatile and may change without warning. "All Namibian citizens residing in, transiting through, or travelling within the region, their safety and well-being remain a priority. The embassy will continue to provide timely updates and relevant information to keep Namibians informed as the situation unfolds,” it said in a statement yesterday. The…

02 Mar

Mistrust overshadows PSC vote in NA

National News

Allexer Namundjembo Political analysts say a growing mistrust in Parliament lay behind last week’s opposition walkout in the National Assembly, which halted the approval of four nominees to the Public Service Commission (PSC). The vote, tabled by prime minister Elijah Ngurare, could not proceed after opposition members left the chamber. Their exit left the House without a quorum to continue. This comes as the terms of the current commissioners expired at the end of last month. The new appointees are expected to be sworn in to ensure continuity at the constitutional body. Political analyst Sackaria Johannes said the conduct of…

02 Mar

Immanuel cracks down on NMW compliance

National News

Renthia Kaimbi The minister of justice and labour relations, Fillemon Wise Immanuel, has directed all government ministries to verify that every state-contracted service provider complies with minimum wage laws. Immanuel warned that the government cannot be linked, even indirectly, to the exploitation of workers. He issued the directive in a circular dated 24 February addressed to the line ministers. “Representations received from various unions and employees confirm that a number of security companies rendering services to state institutions, including your respective ministries, continue to pay their employees below the legally mandated minimum wage,” he stated. He said paying below the…

02 Mar

Defence Ministry leaves S&T unsettled

National News

Staff Writer The Ministry of Defence and Veteran Affairs paid out subsistence and travel advances amounting to N$ 54 632.40 to seven staff members by 31 March 2025, with N$ 23 253.40 still outstanding at year-end. This is contained in the auditor general Junias Kandjeke's report on the accounts of the ministry's department of veterans affairs for the financial year ended 31 March 2025. Despite the outstanding advances and other control issues, Kandjeke issued an unqualified audit opinion. The audit shows that under the Veterans Welfare Programme, the department exceeded its performance target. The target was to support 530 veterans.…

02 Mar

Rising reserves reflect stability and a moment to consolidate

Editorial, Featured

Namibia’s international reserves rose to N$51.9 billion at the end of January, driven by inflows from the Southern African Customs Union (SACU). In an uncertain global environment marked by currency volatility, geopolitical tension and tightening financial conditions, this development is a welcome affirmation of macroeconomic stability and disciplined fiscal management. For a small, open economy such as ours, international reserves are not abstract accounting figures. They are the backbone of financial credibility. They ensure the country can meet its import obligations, service external debt and cushion itself against global shocks. Crucially, they sustain confidence in the one-to-one peg between the…

02 Mar

TURNING POINT | Budget reflections: Structural realities facing Namibian entrepreneurs

Featured, Opinions

When the minister of finance tabled the national budget, I listened through two lenses: that of a citizen concerned with fiscal sustainability and that of an entrepreneur operating within Namibia’s regulatory and commercial framework. A national budget is more than a fiscal ledger; it is an institutional signal of how the state conceptualises growth, allocates risk and positions the private sector within the broader development agenda. The budget reflects an awareness of competitiveness. Yet it also underscores structural constraints that continue to shape the ease of doing business in Namibia. These constraints are not abstract debates confined to policy forums;…

02 Mar

SACU inflows push international reserves higher

Uncategorised

Chamwe Kaira Namibia’s international reserves increased to N$51.9 billion at the end of January 2026, supported by inflows from the Southern African Customs Union. The Bank of Namibia reported in its latest money and banking statistics that the official stock of reserves rose by 0.6% month-on-month. The increase was mainly driven by SACU receipts. At this level, reserves covered an estimated 3.3 months of imports. When excluding oil and gas exploration and appraisal imports, the cover stood at 3.8 months. The bank said the reserves were equal to 9.6 times the currency in circulation. They remain sufficient to maintain the…

02 Mar

Alexforbes urges investors to adapt to changing markets

Observer Money

Staff Writer Alexforbes Namibia has urged investors to rethink traditional strategies as markets become more complex and unpredictable. At its recent Investment Destination Seminar, the firm examined how investors can respond to global market volatility, technological change, geopolitical shifts and rising sustainability demands. These forces are reshaping markets and putting pressure on traditional portfolio models. A key focus of the seminar was the shift from single-manager investing to a multi-management approach. Instead of relying on one manager or one investment style, multi-management combines several specialist asset managers across asset classes, regions and strategies. This structure aims to lower concentration risk,…

02 Mar

Economists warn of revenue and debt risks if economy underperforms

Observer Money

Chamwe Kaira Simonis Storm has projected slower economic growth than the 3.1% forecast in the 2026/27 national budget. While the budget estimates growth of 3.1% in 2026, Simonis expects expansion of about 2.5%. Under this outlook, growth would remain concentrated in mining and logistics while domestic demand stays weak. The firm said weaker growth would reduce revenue performance and make deficit reduction more dependent on Southern African Customs Union receipts and global commodity prices. This would narrow the margin for fiscal stability and increase reliance on external factors. Simonis said fiscal consolidation alone will not address structural constraints in the…