World Bank unveils new economic strategy for Namibia

The World Bank has outlined a strategy to support Namibia’s economic growth and reduce inequality for the period 2025 to 2029.

This was said in a statement issued by the World Bank on Wednesday, which says the institution’s board of directors had discussed a Country Partnership Framework (CPF) for Namibia whose goal is to facilitate job creation and better access to quality public services.

According to the statement, this goal is aligned with the government’s strategic development priorities as articulated in Vision 2030 and the Second Harambee Prosperity Plan for 2020-2025.

World Bank country director for Namibia Satu Kahkonen says this CPF represents a significant shift in the World Bank Group’s engagement in Namibia, which was limited to knowledge and technical cooperation under the previous strategy.

“We are pleased to have responded to the country’s interest in borrowing through the first operation approved in May 2024, and will build on this in the next five years. Through this CPF, we aim to enhance the quality of life and economic prospects of Namibia’s people by prioritising access to housing, health, education and renewable energy,” says Kahkonen.

The five-year CPF is centred on two high-level, long-term outcomes: increased employment and improved access to quality public services, underpinned by a cross-cutting theme of digital transformation, the statement says.

The first high-level outcome focuses on increased access to renewable and green energy, improved enabling environment for private sector-development, and strengthened macro-fiscal management.

The second high-level outcome focuses on improved efficiency in education and health services, and improved housing and urban services.

Through the cross-cutting theme of digital technology integration, the CPF aims to drive economic growth by enhancing access and affordability of digital services, improving tax administration, and strengthening service delivery.

“Harnessing the potential of Namibia’s private sector is essential for driving inclusive economic growth. Through this CPF, we are committed to supporting the country in creating a more conducive environment for private sector investments in sectors such as housing, digital, renewable energy and agribusiness.

“By fostering private sector growth, Namibia can boost job creation, strengthen resilience to economic shocks, and reduce inequality,” says Cláudia Conceição, International Finance Corporation regional director for southern Africa.

The CPF operationalises the ‘One World Bank Group’ approach through the joint country representation model.

The approach focuses on mobilising private capital using a comprehensive range of instruments from the International Bank for Reconstruction and Development, the International Finance Corporation, and the Multilateral Investment Guarantee Agency.