Martin Endjala
Local economist and independent researcher, Joseph Sheehama, has strongly opposed the government’s plans to introduce a Condition of Basic Income Grant (CBIG) for every unemployed Namibian between the ages of 18 and 59.
He believes that while the initiative is commendable, it represents a temporary solution that can promote complacency in terms of innovation and creativity, hindering economic growth.
Sheehama pointed out that Namibia faces a critical challenge in the form of high unemployment, which perpetuates the cycle of widespread poverty. He argued that what the country needs is entrepreneurship, not handouts.
“Instead of handouts, provide a scheme to assist people in this category with financial support to start their own businesses. We don’t want to foster a culture of dependency. Although the initiative has good intentions, it’s essential to engage in open dialogue with society to determine their needs. Decisions should not be made for them. How can we expect to grow the economy through handouts? This approach is merely subsistence living and should be discouraged,” Sheehama advised.
He stressed that for Namibians to lead fulfilling and joyful lives, it is crucial to ensure that no one is left behind and that nobody lives below the poverty line.
Sheehama further suggested that the CBIG should only be considered after the government has established a budget for supporting entrepreneurs.
Sheehama’s comments came in response to Minister of Gender Equality, Poverty Eradication, and Social Welfare, Doren Sioka, who recently announced the government’s intention to implement the Basic Income Grant for all unemployed Namibians as soon as sufficient funds become available.
Sioka made this announcement in parliament last week while responding to questions from fellow parliamentarian Kennedy Shekupakela of the Rally for Democracy and Progress party, who sought an update on the initiative’s status.
Sioka explained that her ministry had been directed to revise and transform the Food Bank Programme and Marginalized Special Feeding Programme into a monthly cash transfer by 2022, as a preliminary step towards phasing in a Conditional Basic Income Grant.
Currently, the CBIG is only provided to former Food Bank beneficiaries, who receive N$600 per household per month. The gradual rollout of the CBIG is planned to commence in 2024/2025, contingent on the availability of funds.
Sioka added that her ministry is collaborating with the Ministry of Finance and Public Enterprises to ensure the fulfilment of this commitment.
