Observer Money – Page 123 – Windhoek Observer

03 Nov

DBN inspected N$3.6b loans in 2022/2023

Observer Money

During the 2022/2023 financial year, the Development Bank of Namibia inspected and assessed 63 projects valued at N$3.6 billion for compliance. The DBN said it monitors the implementation and progress of remedial actions for the loan’s tenure. The frequency and duration of monitoring depends on the type of transaction financed and the level of risk. “Where clients do not comply with environmental and social risk requirements, DBN works together with clients to achieve the necessary compliance standards,” the bank said. During 2022/23 no active loans were terminated due to noncompliance. Construction and Business Services made up significant sectors due to…

03 Nov

Agra anticipating financial strain

Observer Money

Chamwe Kaira Agra Limited is anticipating financial strain next year due to factors such as escalating fuel prices, rising inflation, and challenges associated with sourcing essential farming input materials. Additionally, the company said the prevailing high-interest rate environment adds complexity to the equation. “Our assessment also encompasses meteorological influences and a continued focus on enhancing credit control practices. We remain vigilant about potential supply chain disruptions caused by load shedding, impacting South African producers, which could lead to fluctuations in availability,” the company said in financial results for the period ended 31 July 2023. The company said although the challenges…

03 Nov

International reserves drop to N$53.8b

Observer Money

Chamwe Kaira The Bank of Namibia’s stock of international reserves declined in September by 3.4 percent month on month to N$53.8 billion compared to N$55.6 billion at the end of August. “The decline is attributable to commercial bank outflows, as well as government payments. The foreign reserves translated into 5.6 months of import cover, remaining above the international benchmark and adequate to support the currency peg between the Namibia Dollar and the South African Rand,” the central bank said. The annual growth in M2 declined to 7.9 percent at the end of September relative to a growth of 9.6 percent…

03 Nov

Namibia’s maturing bonds stand at N$34.5 billion

Observer Money

Chamwe Kaira The Government has successfully redeemed the JSE-listed Nam03 bond, which matured on the 1st of August with an outstanding balance of N$157 million. This is contained in the Fiscal Policy Statement for the Financial Year 2024/2025 to 2026/2027 released by the Ministry of Finance and Public Enterprises this week. The Government further rolled over the GC23 bond on the 15th of October. To this effect, an outstanding balance of N$2.1 billion at redemption was successfully rolled into other medium to long term bonds along the yield curve. Further, maturing bonds over the Medium Term Expenditure Framework (MTEF) amounts…

03 Nov

Public Enterprises employ 25 000 people

Observer Money

Chamwe Kaira Public Enterprises employ 25 000 people, according to statistics released by the Minister of Finance and Public Enterprises, Ipumpu Shiimi this week. The government is in the process of reforming public enterprises to improve their operations. Namibia currently owns 81 Public Enterprises (PEs) consisting of commercial, non-commercial and extra budgetary funds. The Total Asset Value of the all Public enterprises stands at N$119 billion and liabilities at N$60 billion, giving a portfolio Net Asset Value of N$50 billion. Shiimi said it is known the performance of a number of our public enterprises is mediocre; service delivery is ineffective…

03 Nov

Apex Group to launch in Namibia

Observer Money

Apex Group Ltd, a global financial services provider, has announced its expansion into the Namibian market with the appointment of Sybil Somaes as Country Head – Namibia, responsible for overseeing the delivery of Apex Group’s single-source solution to global clients. Apex Group’s Namibia business supplements the group’s existing presence in South Africa where it currently employs over 1200 people across offices in Cape Town and Johannesburg, servicing 140 clients with assets of USD$130 billion. Apex Group in Namibia will be led by newly appointed Sybil Somaes, with plans to grow client service and delivery teams in this location through the…

01 Nov

Namfisa gears up to tackle consumer credit loopholes

Observer MoneyNamfisa gears up to tackle consumer credit loopholes

Martin Endjala The Namibia Financial Institutions Supervisory Authority (Namfisa), has embarked on a public consultation across all regions to engage various stakeholders to get inputs on the Consumer Credit Bill to help ensure that the bill speaks to the needs of the people. During a recent media engagement in Windhoek, Namfisa Deputy Chief Executive Officer Market Conduct and Operations, Johannes Smit said consumer protection is paramount in deliberations and it underpins the very essence of the Consumer Credit Bill. “We must remember that this bill when enacted, will be a powerful tool that can either help individuals realise their dreams…

01 Nov

Walvis Bay Harbour set to benefit significantly from new EU deal

Observer MoneyWalvis Bay Harbour set to benefit significantly from new EU deal

Niël Terblanché The European Union (EU) has pledged about N$20 billion Euros in support of an ambitious initiative to enhance the development of Namibia’s main port in Walvis Bay. Namibia’s main harbour is, amongst others, viewed as a crucial gateway to the Walvis Bay – Maputo Corridor. This initiative is part of the EU-Africa Global Gateway Investment Package, which seeks to bolster eleven strategic corridors, including this vital transport link. The momentous partnership was unveiled by the President of Namibia, Hage Geingob, and the President of the European Commission, Ursula von der Leyen, on the eve of the Global Gateway…

31 Oct

Trade verification system to combat illicit activities

Observer MoneyTrade verification system to combat illicit activities

Hertta-Maria Amutenja The Bank of Namibia (BoN) and Namibia Revenue Agency (NamRA), have unveiled the Trade Verification System (TVS) to enhance trade efficiency and combat illicit activities. The central bank and the agency said the digital initiative promises to revolutionise the country's trade processes, offering improvements in efficiency, transparency, and security in trade operations. The system will come into effect next month. BoN Director of Strategic Communications and International Relations Kazembire Zemburuka and Chief NamRa Strategic Communications and Support Engagements Yarukeekuro Ndorokaze, in a joint media statement, explained that the international trade system, in particular, has been exploited by various…

31 Oct

Consumers get temporary relief as fuel prices remain unchanged

Energy, Observer MoneyConsumers get temporary relief as fuel prices remain unchanged

Niël Terblanché In a welcome respite for consumers, fuel prices in Namibia will remain unchanged in November. The Ministry of Mines and Energy made the announcement on Friday. The decision comes after a period of steep increases in the prices of consumer goods in the country. The Ministry of Mines and Energy explained the reasons behind this decision, citing significant declines in global oil prices during October. The decline was attributed to a reduction in fuel demand, which outweighed the OPEC+ decision to maintain a reduction in oil production, thus keeping the supply constrained. Diesel, which serves as an indicator…