Chamwe Kaira
The deputy governor of the Bank of Namibia (BoN), Ebson Uanguta, has described the informal economy as a reflection of the resilience and entrepreneurial spirit of Namibians.
Speaking at the launch of the diagnostic report on informality in Namibia in Windhoek this week, Uanguta said the sector operates without enough safety nets or protections. He warned that the report should not become a document that gathers dust but should drive real change.
“For the majority of Namibians, the informal sector is the economy,” he said.
“We can no longer afford to plan in the dark. This report offers us a guide to design financial systems, infrastructure, and policies that empower and include those who have long been on the economic periphery.”
He called on government institutions, financial service providers, civil society, and the private sector to work together to promote financial inclusion, legal protection and economic dignity for all workers.
Uanguta said Namibia faces the triple threat of unemployment, poverty, and inequality, and that the country’s response to informality must be inclusive and transformative.
“Let this report mark not the end of a project but the beginning of a national renewal,” he said.
He said the launch marked the end of a journey that began in 2023. During that time, government, regulators, academia, development partners, and representatives of the informal economy came together to understand the true nature of informality in Namibia.
“This is not merely the launch of a report,” he said. “What began as an effort to gather data had become a national conversation about inclusion, resilience, and opportunity.”
He said the report captures not only statistics but also the human stories behind them, the traders in open markets, farmers in rural areas, artisans in informal settlements, and home-based entrepreneurs whose creativity drives local economies.
The launch was attended by Michael Humavindu, executive director in the Ministry of Finance and chairperson of the national working group on informality and United Nations Resident coordinator to Namibia Hopolang Phororo.
Humavindu said Namibia’s informal economy contributes about US$25 billion in purchasing power parity.
According to the National Informal Economy, Startups and Entrepreneurship Development Policy (NIESEP), the informal economy accounted for 24.7% of GDP in 2023, or roughly US$8 billion.
By 2025, the share has risen to 26.5%, about US$13 billion. The sector employs about 58% of Namibia’s workforce.
