Justicia Shipena
The financial sector has underperformance in several areas, with local ownership and control reaching only 20% against a target of 25% in the last ten years.
This shortfall indicates limited local participation in the financial system and highlights ongoing challenges in empowering domestic stakeholders and businesses.
Bank of Namibia (BoN) governor Johannes !Gawaxab acknowledged the gap at the launch of the Financial Sector Transformation Strategy for 2025–2035.
The strategy, developed by the BoN, the Namibia Financial Institutions Supervisory Authority (Namfisa), and the Ministry of Finance, aims to address gaps in the financial system, particularly in rural and informal sectors.
It focuses on nine key areas, including financial inclusion, modernising infrastructure, digital innovation, and consumer protection.
By 2035, the strategy aims to increase the number of registered domestic and foreign investors by 70%, and the number of listed companies and assets under management by 75%.
It also targets enabling 60% of rural farmers to access climate finance solutions and increasing digital transactions in rural areas by 80%.
At least five new financial instruments are expected to be introduced annually.A regulatory framework for RegTech and SupTech is scheduled to be in place by 2025.
The strategy further sets a goal of achieving 95% national financial inclusion, with 75% in rural areas, and to finance 80% of micro, small, and medium enterprises (MSMEs) that are 10 years or older. It also aims to support 70% of informal businesses and startups in accessing funding.
In workforce development, the strategy targets completing essential skills and digital training for at least 70% of financial sector employees.
The BoN also plans to launch an Instant Payment System in 2026 and participate in regional projects like Project Sunbird.
!Gawaxab said that technology will be used as a tool to provide efficient, affordable, and relevant services.
Namfisa chief executive officer Kenneth Matomola emphasised that consumer protection is central to the strategy, focusing on ensuring fair treatment of customers and strengthening market conduct supervision.
The executive director of the Ministry of Finance Michael Humavindu, explained that the strategy reflects a national consensus and high-level political commitment.
He stressed the importance of a financial system supporting sectors like oil, gas, and renewable energy, turning these opportunities into broad-based prosperity.
The Financial Sector Council will coordinate the implementation of the strategy.
