Namibia has been ranked as number one in terms of Africa’s foreign direct investment (FDI) performers relative to the size of their economies in 2022.
This was reported by the Namibia Investment Promotion and Development Board (NIPDB) after the recently ended United Nations General Assembly in New York.
According to Catherine Shipushu, the spokesperson of the NIPDB, this was data released by the Greenfield FDI Performance Index, which measures FDI attracted in proportion to a country’s economic size.
“Following the collective efforts of public and private sector stakeholders, Namibia is slowly reaping the results of persistent and deliberate investment promotion activities.
“Namibia is ranked number one in Africa and 13th globally in 2022,” Shipushu says.
According to the statement, the NIPDB kicked off its successful United States mission with panel discussions that focused on the renewable energy and education sectors.
NamPower managing director Kahenge Haulofu and NIPDB chief executive Nangula Uaandja participated in a discussion titled ‘Investment and Growth Opportunities in Renewable Energy Resources’.
“This discussion provided insight into, among others, the government’s efforts to enhance private sector participation in the renewable energy sector through interventions such as the National Integrated Resource Plan,” Shipushu says.
This is a national plan to meet forecasted annual peak and commodity demand, as well as an established reserve margin.
Namibia’s anchor event, ‘Invest in Namibia’, was co-hosted in partnership with Rand Merchant Bank in Namibia, the corporate and investment banking division of FirstRand Namibia Group.
According to the NIPDB, public and private sector leaders engaged potential investors and shared information about Namibia’s investment environment and opportunities available in the priority areas of oil and gas, green hydrogen and mining.
Minister of mines and energy Tom Alweendo provided a detailed overview of the mining and energy landscape in Namibia.
Uaandja also provided in-depth information on investment opportunities, while highlighting Namibia’s unique opportunities and comparative advantages as an investment destination.
She highlighted that due to its excellent wind and solar resources, Namibia is one of five countries in the world with the potential to produce green hydrogen at competitive rates.
The NIPDB noted that mining remains a strategic growth sector for Namibia, with significant contributions to the gross domestic product (GDP), taxation and foreign earnings.
“In 2022, the mining sector accounted for 11,1% of the GDP and further investment in this sector could spur economic growth.
“It is for this reason that the NIPDB used the opportunity to invite investors and funders to form partnerships, joint ventures, or strategic alliances with Namibian exclusive prospecting licence (EPL) owners to develop their projects and mining operations,” Shipushu says in the statement.
The potential impact of large numbers of EPLs being issued could enable the country to develop its mining project pipeline and prepare for larger future investments, the NIPDB said, adding that there are currently just more than 700 EPL and mining claims owners in Namibia.
In addition, meetings were held with potential investors and collaborative partners, including the Cherie Blair Foundation.
The NIPDB further participated in the Planning for Climate Commission report launch organised by the Green Hydrogen Organisation – highlighting the key strategies required to make planning and permitting for renewable energy and green hydrogen projects faster and fairer.
Another key session organised by the World Economic Forum focused on sharing investment facilitation strategies that developing countries such as Namibia could use to attract climate-aligned FDI.
The NIPDB said while the Namibian economy recorded positive growth over the past two years, with a 4,2% growth rate in 2022, foreign and domestic investments remain the most viable levers Namibia can pull for sustainable economic growth and quality employment creation.
The board further said following the collective efforts of public and private sector stakeholders, Namibia is slowly reaping the results of persistent and deliberate investment promotion activities.
“This is evidenced by data released by the Greenfield FDI Performance Index, which measures FDI attracted in proportion to a country’s economy size, which ranked Namibia number one in Africa and 13th globally in 2022,” Uaandja said.