Observer Money

Staff Writer  In response to a directive from the ministry of finance, Letshego Holdings Namibia and its subsidiaries, Letshego Bank Namibia and Letshego Micro Financial Services Namibia, have suspended all new deduction at source loans for government employees with immediate effect. The company said all new micro-lending loans will now be issued through debit order arrangements and subject to a credit affordability assessment to ensure responsible lending. “While this marks a significant shift in the business landscape, Letshego has been preparing for this transition. Since 2016, the company has strategically diversified its product offering beyond micro-lending to include banking services.…

Chamwe Kaira  The International Finance Corporation’s (IFC) portfolio exposure in Namibia amounted to US$3.08 million (N$53 million) in the financial year ended 30 June 2025, representing 0.01% of its global disbursed portfolio.  This was down from US$10.67 million (N$184 million) in 2024. IFC’s investments in Namibia focus on access to finance, SME support, and infrastructure development, with an emphasis on resilient markets and private capital. IFC, established in 1956 and part of the World Bank, aims to further economic development by encouraging private enterprise in member countries. The corporation reported a net income of US$2 billion in 2025, compared to…

Neville Ntema  Against the backdrop of global markets in flux, imagine an investor nervously scrolling through their phone, eyes darting over headlines filled with policy changes, geopolitical tensions, and consumer behaviour shifts. Each alert brings a fresh wave of anxiety, with tariff shocks, diplomatic standoffs, and rapid technological change shaking confidence. Volatility has become the norm, and uncertainty is likely to remain with us for some time. When faced with turbulence, many investors get distracted by the noise. Yet it is precisely in these moments that discipline matters most. At Momentum Investments, we believe uncertainty highlights the importance of outcome-based…

Chamwe Kaira  Telecommunications investments dropped to N$164 million in the second quarter of this year, down 48% from the previous quarter, the Communications Regulatory Authority of Namibia (Cran) said in its quarterly statistics bulletin.  The regulator said the drop followed major capital spending in the first quarter, including a once-off infrastructure investment by Loc8 Mobile.  “It is also important to note that Telecom Namibia and Paratus Telecommunications continued to make considerable investments during the period,” the report said. Cran reported that cyber-threat events more than doubled during the quarter.  “Reported cyber vulnerabilities also increased by approximately 2%, sustaining an upward…

Chamwe Kaira  Namibia Breweries Limited (NBL) has advised shareholders that operating profit for the six months ended 30 June 2025 is expected to increase by between 75% and 80%.  NBL also said basic earnings per share are expected to grow by between 85% and 90%, while headline earnings per share will rise by between 90% and 95%, compared to the same period last year.  “This increase is driven by strong volume performance in Namibia, benefits from locally packaged wine plus cider and disciplined cost management,” NBL said.  Interim financial results will be released on or about 19 September. In the…

Chamwe Kaira  Data consumption increased by 8% in the second quarter of 2025, while data revenue declined by 1.2%, the Communications Regulatory Authority of Namibia (Cran) reported.  This balanced the N$800 million revenue level reached in the last quarter of 2024 after several quarters of around N$700 million.  The decline in revenue despite higher consumption was linked to free data promotions by operators. The revenues from voice and SMS continued to fluctuate. SMS revenue dropped by 14%, while voice revenue fell by 6%. During the quarter, ICT revenue increased by 1%, but operating expenses increased by 4%. Social media accounted…

Staff Writer  The Motor Vehicle Accident Fund’s (MVA Fund) proposal to introduce new levies on locally registered vehicles, foreign-registered vehicles, and electric vehicles signals a shift in how Namibia finances its road accident compensation system. Marco Pulse of Simonis Storm Securities said the MVA, which relies heavily on a N$N$0.47 per litre fuel levy, is facing sustainability challenges.  He noted that as vehicles become more fuel efficient and electric vehicle adoption expands, fuel levy revenue is no longer keeping up with the fund’s growing obligations, such as trauma care, rehabilitation, and loss-of-income payouts. “This decoupling of road use from fuel…

Justicia Shipena Artificial intelligence (AI) could drive growth in low- and middle-income economies if they invest in digital infrastructure and supportive policies, the World Trade Organisation (WTO) says in its 2025 World Trade Report. The report was launched on Wednesday, during the WTO Public Forum in Geneva, Switzerland.  It shows that under a “policy catch-up” scenario, low-income economies could see gross domestic product (GDP) rise by 11% and middle-income economies by 12.4% by 2040.  High-income economies are projected at 12.2%. With faster technology adoption, the gains could be even higher, reaching 15.3% for low-income and 14.4% for middle-income economies. Global…

With air travel demand across Africa skyrocketing and passenger expectations shifting fast in a digital-first world, airlines face mounting pressure to deliver smoother, more efficient journeys while managing increasingly busy operations. At the same time, destinations like Ethiopia are rapidly emerging as hubs for tourism, investment, and trade, raising the stakes for national carriers and leaving a lasting positive impression on travellers. To meet these challenges head-on, Ethiopian Airlines and SITA have signed a new Memorandum of Understanding (MoU) to co-develop innovative solutions that strengthen the airline’s operations and enhance the passenger experience.  The collaboration will tap into startups, technology…

Staff Writer  Nasan Energies Namibia (Pty) Ltd has reached an agreement with Vivo Energy Namibia to acquire 53 Engen and Shell-branded fuel service stations. The deal is still subject to approval by the Namibian Competition Commission (NaCC). In May 2024, Vivo Energy completed the purchase of Engen Limited from Petronas, which included Engen Namibia. As part of the regulatory process, the Competition Commission ruled that Vivo Energy had to sell a number of its service stations to maintain a fair market. “We are pleased to have reached this agreement with Nasan Energies, which not only fulfills the regulatory requirements to…