The African Development Bank Group has offered Namibia a new partnership commitment worth $1.78 billion under its 2025–2030 Country Strategy Paper (CSP). This comes at a crucial moment, as the nation is making strides in addressing its economy.
Namibia’s current GDP sits at $14.7 billion with an expected growth rate of around 3.6% to 3.8%, an increase from its 2024 figures that sat at $13.4 billion. This trajectory reflects both progress and pressure: growth slowed to 3.7% in 2024 but is projected to recover in 2025, driven by uranium, energy, and water-sector expansion.
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Youth unemployment has soared above 40%, per capita income has dropped from $5,942 in 2012 to $4,240 in 2024, and inequality remains among the highest in the world. At the same time, the government is working to stabilise public finances and rebuild growth momentum amid global shocks, tariff changes, and fragile commodity markets. Against this backdrop lies an opening to a fresh chapter in Namibia’s partnership with the African Development Bank Group.
“This strategy marks a pivotal moment for Namibia’s development,” said Moono Mupotola, the Bank’s Deputy Director General for Southern Africa and Country Manager for Namibia. “By focusing on strategic infrastructure and human capital development, we are laying the foundation for inclusive growth that will benefit all Namibians, particularly the young.” Her words reflect a shared understanding: Namibia’s economic future depends on both building modern systems and investing in its people.
The CSP follows two priorities that reinforce each other. The first is investment in core infrastructure, transport networks, energy distribution, and water systems. These upgrades aim to reduce the cost of doing business, improve productivity, and strengthen Namibia’s position as a regional logistics hub. Better rail and road corridors will support trade with Angola and Zambia, renewable energy investments will raise electricity access towards universal coverage, and expanded water and sanitation infrastructure will improve living conditions, especially in rural communities. These efforts also support the country’s climate commitments and its ambition to lead Africa’s green hydrogen industry.
The second priority focuses on people. The strategy supports technical and vocational training that links young people to real employment opportunities, expands financing and capacity-building for MSMEs, and strengthens women’s economic empowerment so that more Namibians can participate meaningfully in the economy. If fully implemented, these interventions are expected to create thousands of direct and indirect jobs, deepen Namibia’s manufacturing capabilities, and integrate small businesses into regional and continental value chains.
This plan aligns closely with what the Namibian government is already doing. Through Vision 2030, Harambee Prosperity Plan II, and National Development Plans 5 and the upcoming NDP6, the government is pursuing economic diversification, green industrialisation, job creation, and stronger public sector governance. To address deeper challenges, the government is investing in skills development, strengthening revenue collection, managing public debt, advancing green hydrogen projects, supporting agriculture through initiatives like the Green Scheme, and working with global partners on sustainable raw materials, oil and gas exploration, and industrial development.
The AfDB strategy aligns directly with the Bank Group’s Four Cardinal Points, especially in promoting infrastructure, private sector development, governance, and skills. It also supports Africa’s Agenda 2063, particularly its goals on industrialisation, regional integration, and job creation, and reinforces Vision 2030’s aim of building a prosperous, industrialised Namibia with a skilled and competitive workforce. Implementation begins immediately, with the first operations scheduled for early 2026, ensuring that momentum is sustained and that the country can quickly begin leveraging the financing.
For the African Development Bank, this CSP extends a decade-long partnership that includes investments of over $658 million in ports, rail systems, education, and fiscal reforms. For Namibia, it represents a chance to reshape its economic structure, strengthen resilience, and widen opportunities for the next generation. As Mupotola noted, recent global shocks have tested the country’s stability, but this new strategy deepens Namibia’s ability to diversify exports, strengthen regional ties, and build domestic productive capacity.
If enacted, the Bank’s investment, supported by the government’s own reforms, could help Namibia reduce inequality, expand its industrial base, and unlock growth sectors such as renewable energy, logistics, agro-processing, and MSMEs. The country stands at a moment where deliberate action can turn long-standing constraints into engines of progress. The CSP provides the tools; Namibia’s leadership and people provide the drive to shape a more inclusive and resilient economic future.
