Pensioners disappointed by N$100 grant increase

Staff writer

Pensioners have expressed disappointment and frustration at the N$100 increase in the monthly old-age grant, saying it does little to ease rising living costs.

Finance minister Ericah Shafudah announced in the 2026/27 budget last week that the pension will increase from N$1 600 to N$1 700 from 1 April. The government said the adjustment reflects fiscal constraints and competing national priorities.

Beneficiaries in Windhoek and the Zambezi region say the increase will not stretch far.

“A N$100.00 cannot even afford enough electricity to last a day; it cannot even afford to buy enough food,” said 72-year-old Mary Nyambe from the Zambezi region.

“Electricity units are expensive. Food prices have gone up. Even transport to the clinic costs more now. The N$100 is finished before the day even begins,” Nyambe adds.

Nyambe supports two unemployed grandchildren. She said her pension is the only steady income in the household.

“When my children cannot find work, they come back home. I cannot chase them away. So this pension is not just for me,” she said.

“We are not asking for luxury. We just want to live with dignity in our last years.”

Daniel Mwiya (74) said the cost of maize meal and cooking oil has increased over the past two years.

“We were hoping for something bigger because of what the President said before elections. Now we are told it is only N$100. We feel disappointed and used,” he said.

He referred to the N$3 000 pension figure mentioned by President Netumbo Nandi-Ndaitwah during the 2024 election campaign.

This is Nandi-Ndaitwah’s commitment to fulfil the wish of late president Hage Geingob to increase the old age pension to N$3 000 over time.

“When we heard about elders getting N$3 000, we felt relief and have since been confident that she will deliver, but now a N$100 feels like a slap across the face.”

After her inauguration, the President said the full increase would not be possible immediately due to fiscal realities. The government prioritised youth employment and free tertiary education.

More than 200 000 Namibians receive the old-age pension. Social grants reach over 618 000 beneficiaries nationwide. Government spends about N$7 billion a year on social protection. Old-age grants account for nearly half of that amount.

Analyst Herbert Jauch said the increase does not match inflation.

“When you consider inflation since the last increase, the N$100 does not amount to a full inflation correction. In real terms, pensioners are not experiencing a meaningful increase in purchasing power,” Jauch said.

He described the budget as tight.

“The overriding characteristic of this budget is austerity. From a financial sustainability perspective, keeping social spending tight helps manage debt levels. But from a social perspective, the needs remain significant,” he said.

The government debt is projected to reach N$217.3 billion by 2028/29. Juach said high unemployment has increased reliance on pensions.

“When unemployment exceeds 50% under the broad definition, it means many households survive largely on social grants. The pension becomes a support mechanism not only for the elderly but also for entire families,” he said.

Social activist Shaun Gariseb said pensioners have shared their frustration with him.

“Many elderly citizens feel their expectations were not clearly managed,” he said.

“When promises are made, especially to vulnerable groups, there must be clarity about what is feasible and when.” He urged the government to communicate openly.

“If circumstances have changed or if the full amount is not currently possible, that must be explained openly so people understand the limitations,” he said.

Gariseb also said the issue should not be framed as a choice between youth and the elderly.

“It should not be presented as either youth empowerment or pension support. Both are important. The country must address inequality and poverty in a way that does not create the perception that one group is sacrificed for another,” he said.

Selma Johannes (69) said the emotional impact of unmet expectations is real.

“We were hopeful,” she said. “When leaders speak, we believe them. Now we just want honesty. If it cannot be done, then tell us clearly.”

Another pensioner told the Windhoek Observer, “At least it is something. But the government must know that life is hard for us. We are old. We cannot go and look for jobs.”

The government has indicated that pension adjustments may be reviewed in future financial years depending on economic performance.

For now, the increase stands at N$100.

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