Economy sinks further by 2%
According to the Namibia Statistics Agency, the domestic economy performance remains suppressed in the first quarter of 2019, recording a contraction of 2.0 percent compared to the decline of 0.5 percent recorded in the corresponding period of 2018.
Year on year Real GDP for the first quarter of 2019 stood at N$ 27 026 million (or N$ 27.026 billion) compared to N$ 27 589 million (or N$27.589 billion), showing the sum of real value added for sectors shrunk by N$ 563 million. The deterioration in the economy is observed across major sectors with more than half of the sectors posting declines in real value added.
The key drivers for the contraction is the Construction, Wholesale & retail trade, Agriculture & forestry as well as Hotels & restaurants that recorded declines of 27.8 percent, 6.7 percent, 6.7 percent and 8.7 percent, respectively.
The reduction in the Agriculture & forestry sector emanated from declines recorded in both the livestock and crop farming subsectors. Although a recovery, the livestock subsector posted a decline of 0.3 percent growth in real value compared to a steeper decline of 8.3 percent recorded in the corresponding quarter of 2018.
Mines and Energy raises N$35 million for drought relief
During the month of May 2019, H.E. the President of the Republic of Namibia, Dr. Hage Geingob declared the immense drought as “A State of Emergency” under Article 26 of the Namibian Constitution. The Head of State called all Offices, Ministries and Agencies (OMAS) and other stakeholders to mobilize and ensure the provision of necessary drought relief assistance to the affected communities.
In the same vein, Tom Alweendo Minister of Mines and Energy has extended the call to our agencies and stakeholders to donate towards the relief of drought.
“In response to this call, our companies have come forward to support the government in the efforts of contributing to the fund responsible for allaying the threats of drought,” the Ministry of Mines and Energy said last week.
Nampower donated N$ 15million, Namdia N$ 15million and Chamber of Mines N$5 million making the total contributed N$ 35million
Bank Windhoek and Debmarine Namibia celebrate national milestone
Bank Windhoek, in partnership with four financial institutions, reached a milestone when they collaborated and financed one of the largest commercial transactions to date, aimed at boosting marine diamond recovery operations in Namibian coastal waters.
The transaction, which involves the financing of a new diamond recovery vessel for Debmarine Namibia, was announced on Wednesday, 19 June 2019 in Windhoek.
In line with Debmarine Namibia’s strategy to expand marine diamond recovery operations in Namibia, the state-of-the-art semi-submersible multirole vessel will be the world’s largest diamond recovery vessel and is set to further enhance Debmarine Namibia’s ability to recover diamonds off Namibia’s Atlantic coastline.
The N$5.6 billion asset financing facility constitutes 80 percent of the vessel cost and will be financed by Bank Windhoek and other four banks, while Debmarine Namibia will cover the remaining 20 percent which is N$1.4 billion of the investment.