• Market Watch

President Nandi-Ndaitwah engineers economic, national sustainable goals

• 18 Hours Ago

The President of Namibia, Her Excellency Dr Netumbo Nandi-Ndaitwah, deserves sincere appreciation for the comprehensive and transparent accountability report presented during her first 90 days in office. As Namibia charts its course toward Vision 2030, the launch of the Sixth National Development Plan (NDP6) marks a crucial medium-term step. The success or failure of this plan will greatly influence the country's progress towards industrialisation.

The first hundred days of Dr Nandi-Ndaitwah’s presidency were marked by close scrutiny, particularly regarding cabinet resignations and emotive issues surrounding ministerial conduct. During this transitional period, many Namibians raised concerns about the unity and effectiveness of the administration. Nevertheless, the President and her cabinet displayed resilience, setting out a clear vision and demonstrating leadership amid adversity. She reiterated her administration’s commitment to improved service delivery and anti-corruption efforts through governance reform.

In a bold move to streamline investment and diplomacy, the President announced the merger of the Ministry of International Relations and Trade with the Namibia Investment Promotion and Development Board (NIPDB). Equally noteworthy are her efforts to modernise customs infrastructure, implement 24-hour border operations, and extend trade corridors, which will also benefit neighbouring economies. These are practical, not symbolic, actions that address structural trade barriers and reduce costs for businesses.



Turning point

With NDP1 through NDP5 yielding limited progress, the unveiling of NDP6 marks a critical turning point. This plan proposes comprehensive reforms across both the public and private sectors, tackling implementation gaps and promoting a culture of collective accountability. NDP6 provides a long-term vision and strategic roadmap to advance economic growth, job creation, poverty reduction, and improved living standards, key to realising Namibia’s goal of becoming an industrialised nation by 2030.

Covering the years 2025–2030, NDP6 is built on four strategic pillars: sustainable economic growth, human development, environmental sustainability, and effective governance. Each pillar has far-reaching implications, especially for Namibia’s emerging technology and digital sectors.

The success of NDP6 hinges on strong leadership, effective implementation, and inter-sectoral collaboration. Continuous monitoring, evaluation, and feedback will be essential to ensure the plan’s success and alignment with Vision 2030 goals. Policymakers must tackle structural challenges that impede progress, such as service delivery bottlenecks. Raising Namibia’s Human Development Index from 0.610 to 0.695 and improving human capital productivity from 0.45 to 0.50 requires actionable plans, sufficient resources, and strong partnerships.

Although Foreign Direct Investment (FDI) can support economic growth, it is not a guaranteed path to national wealth. With NDP6 requiring an estimated N$505 billion, Namibia must find viable ways to fund its ambitions. The World Bank’s reclassification of Namibia as a lower-middle-income country should not be seen as an opportunity to access concessional loans or development grants. Such downgrading signals deeper economic concerns and threatens long-term development goals. To ensure sustainability, Namibia must prioritise fiscal discipline and avoid increasing national debt.



Slowing growth

Real GDP growth reached 2.7% in 2021 and 4.6% in 2022. However, growth slowed to 2.7% in the first quarter of 2025, down from 4.8% in the same period of 2024. As of March 2025, government debt stood at N$166.7 billion - an 8.3% increase year-on-year -equating to 66.3% of GDP and exceeding the SADC benchmark of 60%. Unemployment also rose to 36.9% in 2023, according to the Namibia Statistics Agency.

To expand the economy and address poverty, inequality, and unemployment, there is an urgent need for investment in the mining, agriculture, and manufacturing sectors, along with substantial infrastructure development. Namibia remains a net importer. The path forward requires economic diversification, greater value-added production, the reduction of raw exports, and improved regional trade integration, especially by leveraging platforms such as BRICS and the AfCFTA.

With an estimated population of 3.5 million, if economic growth fails to keep pace with population growth, Namibia may struggle to overcome poverty and inequality.

Moving forward, Namibia must invest in strategic sectors and critical minerals to support its macroeconomic objectives, including job creation, improved productivity, and higher living standards. The successful implementation of NDP6, alignment with Agenda 2063 and the SADC Vision 2050, and effective use of the AfCFTA will be key to transforming the economy. By coordinating national development priorities with continental initiatives, Namibia can secure a prosperous and sustainable future by 2030 and beyond.