Observer Money

Allexer Namundjembo As rains continue to cause destruction in large parts of the country, flooding roads and damaging infrastructure, two of the country’s major open-pit uranium mines, HUSAB and Rössing, have remained largely unaffected. Irvinne Simataa, the Executive Vice President of HUSAB Mine, said the mine experienced minimal impacts. According to him, the effects were no different from the usual weather challenges. “There are no significant impacts on our operations. Our mine has always been resilient in responding to the challenges posed by the weather,” he said. Simataa added that the mine's infrastructure, including a well-constructed bridge over major river…

CHAMWE KAIRA  The Government Institutions Pension Fund (GIPF) has invested in the servicing of 5 884 plots, built 7 840 housing units, and financed 3 286 house purchases through the First Capital Housing Fund.  These efforts have created 4 052 job opportunities. According to its 2024 annual report, GIPF’s investments in land and housing aim to address Namibia’s housing shortage and support the Harambee Prosperity Plan (HPP).  Under the HPP’s Delivery of Urban Land, Housing and Sanitation goal, the country plans to build 20,000 new houses and service 26,000 residential plots.  GIPF has committed to take up at least 30%…

CHAMWE KAIRA  The government has revised down its revenue projections for the 2024/25 financial year to N$90.9 billion, a 1.3% decrease from earlier estimates.  The decline is mainly due to lower returns from state-owned enterprises, especially Namdeb Holdings. Budget documents from the Ministry of Finance show that dividends from SOEs fell by 75.7% to N$561 million. This was largely caused by Namdeb’s underperformance and the delay in receiving N$1.6 billion from the planned dissolution of Namibia Post and Telecommunication Holdings. Meanwhile, central government expenditure was left unchanged from earlier estimates, resulting in a revised budget deficit of 3.9% of GDP,…

CHAMWE KAIRA  DP World has opened a state-of-the-art temperature-controlled distribution facility in Walvis Bay, enhancing Namibia’s cold chain capabilities to meet rising demand for food service supply on the coast. The US$2 million investment underscores DP World’s commitment to driving trade efficiency and economic growth in the region. As the new home of Seapride Food Coastal, the facility, located at Deep Catch Namibia’s Atlantic Commercial Cold Store (ACCS) premises, features 720 pallets and will increase storage and occupational resources capacity for the service by 50%. Along with a new office building, it will significantly enhance food service capacity for the…

Presidency announced this week that President Nandi-Ndaitwah has committed to reviving the national airline, Air Namibia through well-intentioned strategic measures aimed at avoiding past mistakes. The Government intends to pursue this initiative using a sustainable business model with a Public-Private Partnership (PPP) approach to provide a sound business case. A market study is expected to be completed by June, the expression of interest for a Public-Private Partnership is to be finalised by August, negotiations should be concluded by December 2025 and the launch and official operations of the new airline are anticipated between June and December 2026. In light of…

CHAMWE KAIRA  Namibia Breweries Limited will pay an ordinary dividend of 157 cents per share. The company said this decision underscores NBL’s financial health, commitment to delivering shareholder value, and confidence in the group’s strategic direction for sustained growth, the company said in the annual financial results for the year ended December 2024.  The company explained that following the transaction between NBL, Distell Namibia and Heineken on 17 April 2023, NBL became a subsidiary of Heineken Beverages Holdings. As paAs part of this transition, NBL shifted its financial year-end to December to conform to the Heineken reporting cycle. The company…

CHAMWE KAIRA  The profit of Nictus Holdings Limited after tax increased to N$31 million in the six months ending 31 December 2024, compared to N$25 million in 2023.  Operating profit for the six months ended 31 December 2024 decreased to N$37 million, compared to N$39 million in the same period in 2023. Ordinary dividends of 35 cents per share (N$18.7 million) were declared on 19 September 2024 and paid by the company on 4 November 2024. No interim dividend has been proposed by the board of directors. “During the first six months of the year, the Group achieved a 21%…

CHAMWE KAIRA  FNB Namibia is of the view that the Monetary Policy Committee of the Bank of Namibia will maintain the repo rate at 6.75% in 2025. Any unforeseen strain on reserves may lead the BoN to adjust the interest rate differential in the second half of 2025, especially if global currency and trade risks materialise, FNB Namibia economists Cheryl Emvula and Helena Mboti have said. The two economists said like other central banks managing similar uncertainties, the central bank will remain data dependent in 2025, closely monitoring global, regional, and domestic macro trends as they materialise.  The economists stated…

Wandile Sihlobo South African farmers typically till their land from mid-October in the eastern regions and mid-November in the western regions. The crops that South African farmers plant in each of these regions differ. The eastern areas are primarily yellow maize and soybeans, while the western regions are predominantly white maize and sunflower seeds. But this year, the plantings have been slightly slower than usual as we haven’t received meaningful rains yet. If you talk to farmers in rural regions of Limpopo or outside eKomani in the Eastern Cape, they will tell you that the impact of the mid-summer drought…

Niël Terblanché The Hosea Kutako International Airport in Windhoek welcomed a new direct air link to Munich when Discover Airlines launched its first scheduled flight between the two cities on Tuesday. Marco Goetz, Chief Commercial Officer of Discover Airlines, said in a statement on Wednesday that the new route offers Windhoek its only direct connection to Munich, operated three times a week throughout the year. He added that the first flight between the two cities, Flight 4Y142, departed Munich Airport on Tuesday night and touched down in Windhoek on Wednesday morning. “Flights will initially depart from Windhoek on Wednesdays, Fridays,…