Observer Money

CHAMWE KAIRA The Bank of Namibia’s stock of international reserves declined by 2% to reach N$54,3 billion at the end of March. The decrease stemmed from higher net commercial bank outflows on account of higher imports and portfolio outflows over the month, coupled with increased government payments, the central bank said. The foreign reserves translated into 3,8 months of import cover, continuing to remain above the international benchmark of three months and adequate to support the Namibia Dollar and the South African Rand currency peg. Notably, the import cover excluding imports of oil exploration and appraisal activities stood at 4,3…

CHAMWE KAIRA Fifty-three percent of Namibians surveyed in the TransUnion 2024 State of Omnichannel Fraud Report don’t trust that personal data would be secure. This was in response to the top reason consumers said they abandoned online application or form for a financial or insurance product. Six percent of Namibians surveyed said they fell victim to phishing while 41% said they were targeted but did not fell victim while 53% said they were not targeted. The Namibian retail industry was industry with the highest rate of suspected digital fraud. The rate of suspected digital fraud attempts in retail where the…

The Zonal inflation rates for April revealed that, Zone 2 (Khomas region) recorded the highest annual inflation rate of 5,4%, followed by Zone 1 (Kavango East, Kavango West, Kunene, Ohangwena, Omusati, Oshana, Oshikoto, Otjozondjupa, and Zambezi regions) which recorded an inflation rate of 4,8% and Zone 3 (//Kharas, Erongo, Hardap, Omaheke regions) annual inflation rate was observed at 3.9%. Analysis of the average retail prices of selected products for the month of April revealed that consumers in Zone 1 paid the highest price for white bread flour (2,5kg) at N$55,91, followed by Zone 3 at N$52,99, while consumers in Zone…

Namibia Asset Management (NAM) expects Earnings per share (EPS) and headline earnings per share (HEPS) for the six month-period ended 31 March to decrease between 15% and 25% (between 0.62 and 1.04 cents per share) when compared to the EPS (4.16 cents) and HEPS (4.16 cents) reported for the six month-period ended 31 March 2023. Fund management earnings per share (FMEPS) for the six month-period ended 31 March 2024 are however expected to decrease between 5% and 15% (by 0.15 and 0.45 cents per share) when compared to the FMEPS of 3.02 cents per share for the six month-period ended…

CHAMWE KAIRA B2Gold Namibia has started the process that will see the company cut 300 jobs in 2024 and a further 250 jobs in 2025. The company has about 820 permanent employees. The company has termed the exercise ‘downscaling and retrenchments.’ Eric Barnard, the general manager at the Otjikoto Mine, owned by B2Gold said in response to questions by Observer Money that the process of job cuts is being done in phases so as not to cripple mining operations. The first phase will be voluntary separation, which will be followed by forced retrenchments. “The retrenchments are across the board, from…

CHAMWE KAIRA Xeva Investment CC plans to invest in a new piggery facility at Usakos with a capacity to slaughter 14 400 heads of pigs as well as renovating the existing piggery facilities at the town. Acacia Enviro Consulting CC has been appointed by Xeva Investment Cc to act on their behalf in obtaining an Environmental Clearance Certificate to construct and operate the piggery facilities. The project aims to address a number of needs in Usakos and the Erongo region at large including that the piggery could reduce the need for long-distance transport of animals for processing, potentially lowering costs…

The Namibian Competition Commission is expected to decide in the coming weeks the approval of the takeover of local gold mining company, Osino Resources Corporation by Yintai Gold Co. The deal is worth US$272 million. Earlier, Osino Resources Corporation announced that the company’s special meeting saw an overwhelming majority of security holders vote in favour of the takeover. Osino said the shareholders authorised the deal that will see the Yintai Gold Co acquire all of the outstanding common shares of Osino for cash consideration of 1.90 Canadian dollars for each Osino share. “The vote of Osino security holders in favor…

The board of Anglo American has rejected a proposal from BHP Group Limited to take over Anglo American. Anglo American owns De Beers, which has several partnerships in Namibia with the government in Debmarine Namibia, Namdeb Holdings and the Namibia Diamond Trading Company. The proposal comprised an all-share offer for Anglo American by BHP, with a requirement for Anglo American to complete two separate demergers of its entire shareholdings in Anglo American Platinum Limited and Kumba Iron Ore Limited to Anglo American shareholders. “The board has considered the proposal with its advisers and concluded that the proposal significantly undervalues Anglo…