Justicia Shipena
Bringing railway maintenance back to TransNamib Holdings Limited could help save the struggling state-owned enterprise, according to Independent Patriots for Change (IPC) member of parliament Nelson Kalangula.
Kalangula made the remarks while contributing to the budget debate in the National Assembly on Tuesday.
He said TransNamib is facing operational and financial challenges, including an ageing fleet, limited operational capacity and rising debt.
“Bringing railway maintenance back to TransNamib could potentially save the enterprise by consolidating resources, ensuring direct oversight, and aligning maintenance schedules with long-term goals,” he said.
Kalangula said TransNamib operates depots in more than 18 towns across the country, while management costs remain high.
“A key proposal to save TransNamib might involve a comprehensive restructuring, potentially optimising the executive structure to reduce costs and improve efficiency,” he said.
He said the current structure places pressure on the enterprise while executives continue to receive high salaries and bonuses despite weak performance.
Kalangula also questioned the current tendering system used for railway maintenance.
He said outsourcing key technical work weakens the company and drains resources that should remain within the enterprise.
“Work in the scope of TransNamib must remain with TransNamib and not on tender to avoid milking the SoE, and provoking future bailouts by giving away revenues through tendering,” he said.
Kalangula warned that continued outsourcing could push the company further into decline.
He compared the situation to the collapse of Air Namibia, saying mismanagement and weak oversight could place the railway company at similar risk.
Kalangula also criticised the limited funding allocated to the rail sector in the 2026/27 national budget.
He said Namibia cannot position itself as a logistics hub while the railway network continues to deteriorate.
Kalangula noted that only about 48% of the rail network currently meets the Southern African Development Community standard of an 18.5-tonne axle load.
He said stronger investment in rail infrastructure would help reduce pressure on the road network and provide a more efficient system for transporting minerals and other bulk goods.
Kalangula said improving rail transport could support sectors such as mining and oil and gas while reducing road accidents caused by heavy cargo transport.
Finance minister Ericah Shafudah tabled the national budget last month under the theme “People, Productivity, Prudence”. The budget totals about N$87.9 billion, lower than the N$106.3 billion presented in the previous financial year.
Housing delivery questioned
Another IPC member of parliament, Armas Amukoto, said the gap between government promises and actual delivery remains a concern in the 2026/27 national budget.
According to Amukoto, the country is borrowing more money while delivering fewer visible results on the ground.
He said the issue is particularly visible in housing delivery.
In Windhoek, only 58 houses were built under the Mass Housing Development Programme. A further 24 houses were built in Opuwo, while the National Housing Enterprise delivered 112 houses nationally.
Amukoto said the numbers raise questions about how public funds are being used and said the difference between the estimated and actual costs needs explanation.
He also questioned the sudden increase in housing targets for the coming financial year.
The revised target for the 2025/26 financial year stood at 526 houses. In the next financial year, the target jumps to 4 526 houses despite a reduced budget allocation.
Amukoto said such a large increase without a clear implementation plan raises doubts about whether the targets are realistic.
He questioned how this year’s budget will address housing and service delivery challenges when a larger allocation previously failed to meet the needs of communities.
Amukoto said the national budget must provide a clear path toward improving the lives of Namibians through housing, serviced land, electricity and infrastructure.
For these reasons, Amukoto said he cannot support the budget in its current form and called for a review to ensure it responds to the needs of the Namibian people.
Meanwhile, Affirmative Repositioning movement leader and member of parliament Job Amupanda said the budget is well structured and allows meaningful discussion on policy priorities.
Amupanda said the new administration should focus on delivering visible development results rather than highlighting small achievements.
“It is best advised to quickly move from cutting ribbons to tangible landscapes and landmarks,” he said.
He said the country should focus on outcomes that show progress in areas such as housing, sanitation and agriculture.
Amupanda said the housing backlog remains large. Windhoek’s population is estimated to have reached about 500 000 people in 2026, while the housing waiting list stands at more than 40 000 applicants.
He said the city needs to build at least 5 000 houses and service 5 000 plots each year to address the demand.
Amupanda also raised concerns about sanitation, noting that more than 300 000 Namibians still lack proper sanitation while only 2 100 latrines were built.
He said the figures must be viewed within the broader national context to understand the scale of the challenge.
Budget success depends on implementation
In the education sector, Amupanda said the recruitment of 665 teachers must be considered alongside the large number of unemployed qualified teachers, which is estimated to be close to 10 000.
He also highlighted food production as another area where government remains behind national targets.
According to the budget report, 617 hectares of wheat were planted, producing about 3,300 tonnes, while 670 hectares of rice produced about 800 tonnes.
Amupanda said the production figures represent only a small portion of national demand.
He pointed to the Namibia Correctional Service, which produces maize and wheat on about 5 400 hectares to supply food to prisons and police holding facilities across the country.
Amupanda said the correctional service has produced large quantities of grain but faces storage challenges, with some produce at risk of spoilage.
He said the government should support such programmes by investing in storage facilities to protect the harvest.
Amupanda also welcomed contributions from state-owned enterprises to the Youth Fund, noting that N$28 million had been paid into the programme.
However, he said the disbursement of funds remains slow.
More than N$128 million was allocated to institutions including Agribank, the Environmental Investment Fund and the Development Bank of Namibia to administer the fund.
Out of this amount, projects worth about N$70 million were approved, while only N$13 million has been disbursed to beneficiaries.
Amupanda said Namibia must increase investment in development projects to support economic growth and structural transformation.
He said the budget shows positive signs in areas such as fiscal management and social spending but that more progress is needed in expanding production and economic activity.
Amupanda said the success of the budget will depend on whether government delivers real results rather than relying on announcements.
He added that while the finance minister has presented a framework for public finance management, the implementation of projects will determine whether the budget delivers meaningful change for Namibians.
