Niël Terblanché
The Office of the Prime Minister has issued clarifications regarding the utilization of the National Emergency Disaster Fund (NEDF) and reiterated its commitment to maintaining accountability and transparency in accordance with financial regulations.
In a statement, Rhingo Mutambo, the OPM’s Chief Public Relations Officer, stated that the Office of the Prime Minister wishes to ensure Namibians that all NEDF transactions adhere to the State Finance Act of 1991 and the Disaster Risk Management Act of 2012.
“Furthermore, every transaction, both incoming and outgoing, is subject to audit scrutiny, ensuring that funds are used for their intended purposes,” Mutambo said.
Mutambo addressed the issue of funds being diverted from drought relief programs to renovate the old State House and acquire security installations. These allegations raised concerns about the accountability of funds deposited into the NEDF.
Mutambo stated that during the 2013/2014 financial year, ongoing projects, including the renovation of the Old State House and the Office of the Prime Minister Head Office, were budgeted for under the Office of the Prime Minister.
“Due to delays in project commencement, funds earmarked for these projects were transferred to the NEDF to ensure the projects’ continuation. Importantly, these transferred funds were solely used for their intended purpose and were fully accounted for,” he said.
According to Mutambi, these funds were never designated for drought relief programs, and their usage in the NEDF was solely for operational management purposes.
“The NEDF often receives funding from various sources to support its objectives, which include disaster risk management,” he added.
In the case of drought relief programs, funds were transferred from the Ministry of Agriculture, Water and Land Reform to the NEDF for joint implementation with the Office of the Prime Minister.
Mutanbo said these funds were transparently allocated and used exclusively for drought relief initiatives.
Regarding the reported N$260 million from the disaster fund, Mutambo stated that the Office of the Prime Minister amount represents NEDF revenue from various sources.
He added that supporting documents from the Treasury and bank statements were used to confirm the accuracy of these funds, which were utilized in alignment with approved programs and audited accordingly.
Mutambo also clarified the term “deficit,” explaining that it does not imply overspending but rather reflects a situation in which the inflow into the fund falls short of the expenditure within a specific year.
“Such deficits are offset by available funds in the NEDF, ensuring financial stability and accountability,” he said.
He added that the Office of the Prime Minister is complying with all relevant regulations, and safeguarding funds intended for disaster relief and emergency management.