Observer Money

Chamwe Kaira  Namibia’s banking sector maintained a strong liquidity position in 2025, supported by steady cash inflows and easing monetary policy, even as government borrowing increased, the Bank of Namibia (BoN) said. The overall cash position in the banking system rose by 5% to N$7.4 billion in 2025, compared to the average recorded in 2024.  This includes funds held locally and in South African accounts. The increase was driven by government spending and proceeds from diamond sales. Over the past five years, liquidity levels remained high. The 2025 figure is the second-highest after N$8.2 billion recorded in 2023.  The lowest…

Chamwe Kaira  The Namibia Securities Exchange (NSX) delivered a positive performance for the period 30 March to 2 April, with the overall index posting solid gains alongside a strong showing in select sectors. The NSX overall index increased by 3.35% to close at 2 198.69 points, up from 2 127.37 points the previous week. This marks a gain of 71.32 points and brings growth since December 2025 to 2.68%. The NSX local index also rose, increasing by 0.29% to 820.03 points from 817.63 points. The index has now gained 1.52% since the start of the year and reached its highest…

Chamwe Kaira  Settlement activity in Namibia increased in 2025, with higher transaction volumes and values recorded across the payment system, the Bank of Namibia said. The total value of transactions processed through the real-time gross settlement system reached N$1.36 trillion across 109 002 transactions. This is an increase of N$92.6 billion, or 7.3%, and 8 431 more transactions, up 8.4% from 2024. The growth reflects increased high-value payment flows and continued use of the Namibia Interbank Settlement System. The central bank continued oversight of clearing operations. Namclear remained the only clearing service provider, handling interbank electronic funds transfers and card…

Chamwe Kaira  The Grindrod Limited has said in the annual report for the financial year ended 31 December 2025 that its new 4 000m² bulk terminal warehouse facility in the Port of Walvis Bay in 2025 marked a significant collaboration between Grindrod and Namport. The company said the facility is aimed at improving efficiency at the port and strengthening Walvis Bay’s role as a trade gateway to the west coast of Africa and neighbouring inland countries. Grindrod operates in Namibia across clearing and forwarding, cross-border and project logistics, marine engineering, marine technology and servicing, ships' agency, stevedoring and terminals. The…

Staff Writer Namibia Breweries Limited has been assigned a “hold” rating by Simonis Storm Securities, with a 12-month target price of N$26.10. The firm said the current market price of about N$30.30 already reflects much of the company’s performance, leaving limited room for further gains. The outlook implies a negative return of about 6.1% when including a forward dividend yield of 7.8%. The valuation is based on a discounted cash flow model, which places the company’s value at about N$24.70 per share. This is linked to a 16.0% weighted average cost of capital, based on Namibia’s long-term government bond yield…

Staff Writer Spreads between Namibian and South African government bonds widened in 2025 as yields in the two markets moved in different directions, the Bank of Namibia said. South African bond yields declined during the year, supported by improved investor sentiment and policy signals from the South African Reserve Bank.  The central bank reduced its repo rate by 100 basis points to 6.75% by 20 November 2025. The shift to a single-point 3% inflation target also supported expectations of lower inflation and reduced risk premiums. Global conditions also played a role. The Federal Reserve cut policy rates by 75 basis…

Staff Writer  Nominees for the inaugural MTC Namibia Branding and Marketing Excellence Awards have been announced, with organisers confirming 44 shortlisted entries from 109 submissions. The awards recognise work in Namibia’s branding and marketing sector across 15 categories.  Most categories feature three nominees, except for Best TV Commercial of the Year. Tim Ekandjo said all entries went through a vetting process led by an independent panel of judges. He said the evaluation focused on innovation, creativity, market impact and contribution to the industry. Ekandjo stated that the process was designed to ensure fairness and that only submissions with measurable impact…

Chamwe Kaira  The government plans to include nuclear energy in Namibia’s long-term power expansion as part of efforts to increase electricity supply and reduce reliance on imports. The plan forms part of the ministry’s 2025/26 to 2029/30 strategic framework, which sets out steps to expand local power generation and improve energy access. Officials say nuclear energy will form part of a broader energy mix that also includes renewable energy and improved grid systems. The aim is to provide reliable and affordable electricity for households and industry. Namibia plans to increase its installed electricity generation capacity from 734 megawatts in 2024…

Chamwe Kaira  Fraud losses in Namibia’s banking sector have risen sharply over the past five years, reaching N$73.9 million in 2025, according to new data from the central bank. In 2021, total fraud losses stood at N$13.3 million. Card fraud was the main driver at N$6.8 million, followed by e-money fraud at N$3.6 million and EFT fraud at N$2.9 million. In 2022, losses more than doubled to N$31.5 million. EFT fraud increased to N$14.5 million and became the largest contributor, overtaking card fraud. The rise continued in 2023, with total fraud reaching N$46.7 million. EFT fraud accounted for N$17.4 million,…

The Financial Institutions and Markets Act (Fima) is being implemented under Namibia Financial Institutions Supervisory Authority (Namfisa) supervision following a formal directive from the minister of finance.  This marks a decisive step toward stronger governance, financial stability, and consumer protection in Namibia, according to Namfisa. According to Namfisa, Fima strengthens Namibia’s non-banking financial sector by promoting consumer protection, transparency, and sound governance. Importantly, the Act will be implemented effectively without the regulation on the preservation of retirement benefits, ensuring regulatory progress continues while safeguarding the public interest. Observer Money talks to Carmen Diehl, the senior manager for risk management &…