CHAMWE KAIRA
More than half of Namibia’s adult population (54.1%) earns N$2 000 or less per month, highlighting continued income pressures and financial vulnerability among households, according to the 2025 Namibia Financial Inclusion Survey (NFIS) released by the Namibia Statistics Agency (NSA).
The survey, presented by statistician-general and NSA chief executive officer Alex Shimuafeni, found that while Namibia has made progress in expanding access to financial services, many adults continue to face challenges in generating sufficient income and managing household finances.
The NFIS shows that 71.0% of adults receive income on a monthly basis, while 12.3% receive income occasionally and 7.1% receive income daily.
Despite low-income levels, the survey found that 86.0% of Namibia’s adult population is financially included, representing an improvement from 78.0% in 2017. Financial exclusion declined from 22.0% in 2017 to 14.0% in 2025.
Namibia’s adult population aged 15 years and older was recorded at 1.82 million people, of which 1.56 million are financially included.
This includes 1.48 million adults formally served (81.5%), 1.37 million banked adults (75.6%), and 503 706 adults using informal financial services (27.7%).
However, the survey indicates that income sources remain heavily dependent on government support, with 20.9% of the population relying on state grants as their main source of income.
Other major income sources include salaries and wages from private companies, government or parastatals, piece work, informal self-employment, remittances and farming activities.
The survey found that cash remains the most common way adults receive income, with 48.9% of income earners receiving their income in cash, while 43.5% receive income through bank accounts.
Financial management remains a challenge, with only 25.4% of adults reporting that they are often able to make their income last until their next income payment.
The NSA said this points to continued difficulties in household financial planning and financial stability.
The survey found that women are more financially included than men, with 79.4% of females being banked compared to 71.5% of males.
Financial access is also significantly higher in urban areas, where 91.7% of adults are financially included, compared to 79.3% in rural areas.
Higher financial exclusion rates were recorded among rural residents, males, younger adults aged 15 to 20 years, people with lower levels of education, and those who have never attended school.
Borrowing among Namibian adults increased significantly, rising from 42.1% in 2017 to 49.0% in 2025.
The survey found that most borrowing was driven by basic household needs, with 51.3% of borrowers using funds for food, followed by education (22.1%) and transport (16.4%).
Insurance coverage remains limited, with only 32.6% of adults having insurance, leaving many households exposed to financial shocks.
The main unexpected events affecting income in the six months before the survey were rising living costs (36.5%), followed by illness (27%) and death within the family (26%).
The survey indicates continued growth in digital financial services, including bank wallet services and cellphone banking.
Among adults using financial services, 61.6% used formal and informal remittance mechanisms, with 58.5% sending money through formal channels. This represents growth from 59.0% in 2017.
Among bank account holders, Automated Teller Machines (ATMs) remain the preferred banking channel, used by 66.2% of account holders. However, comfort levels with wallet accounts and internet banking remain lower at 24.4% and 22.8%, respectively.
Financial capability declined from 68.5% in 2017 to 63.0% in 2025, indicating a need for continued focus on financial education and planning behaviour.
