Niël Terblanché
The Namibia Financial Institutions Supervisory Authority (Namfisa) will undergo a critical transformation aimed at revamping its regulatory and supervisory framework to foster innovation, enhance service delivery, and ensure a robust financial sector.
Namfisa’s Chief Executive Officer Kenneth Matomola, Namfisa’s stated that the reform strategy is multifaceted, focusing on institutional, legislative, and supervisory changes.
Namfisa, tasked with overseeing non-banking financial institutions, has identified outdated laws as significant impediments to innovation and efficient implementation.
The existing regulatory framework, based on a compliance-driven approach, contrasts sharply with the global shift towards risk-based supervision.
To address these challenges, according to Matomola, Namfisa is actively developing legislation to modernize its regulatory framework and has revamped its organizational structure to improve service delivery.
Namfisa’s representation on the International Association of Insurance Supervisors (IAIS) Risk-Based Solvency Implementation Forum marks a leap toward attaining global best practices status.
This forum aims to support Emerging Markets and Developing Economies in enhancing their supervisory frameworks and transitioning to risk-based solvency regimes.
The appointment of Namfisa’s general manager for insurance and medical aid funds, Erich Gariseb, to the forum emphasizes the authority’s commitment to aligning with international standards and benefiting from global insights.
Parallel to legislative and supervisory enhancements, Namfisa has inaugurated the first-ever FinTech Square in the Non-bank Financial Institutions (NBFI) sector.
This innovative platform, themed “Where the Regulator Meets the Innovators,” is designed to foster financial inclusion and innovation.
It serves as a hub for upcoming innovators, particularly the youth, to participate in transforming the financial services industry.
By bridging the gap between regulators and innovators, FinTech Square is poised to drive the development of future initiatives, reflecting a dynamic and evidence-based regulatory environment.
Namfisa’s comprehensive reforms and initiatives such as the FinTech Square are poised to reshape Namibia’s financial landscape, making it more inclusive, competitive, and resilient.
Through collaborative efforts, learning from global best practices, and embracing technological advancements, Namfisa is leading the way towards a more efficient and innovative financial sector.
According to Matomola, these reforms and initiatives are not just regulatory adjustments but signal a broader shift towards a more open, innovative financial ecosystem in Namibia, ensuring that the country’s financial institutions are well-equipped to navigate the complexities of the global financial environment.
