Namibia plans to introduce new investment incentives and Special Economic Zones in 2024 to fast-track economic growth.
The Deputy Prime Minister and Minister of International Relations and Cooperation, Netumbo Nandi-Ndaitwah, revealed this at the EU-Namibia Business Forum 2023 underway in Brussels, Belgium.
She said these initiatives are designed to attract domestic and international investments, making Namibia a top destination for secure investments, bolstered by a commitment to the rule of law.
“We are finalising legislation to establish a regime of Special Economic Zones with a key focus on incentivising manufacturing and processing. It is expected that these reforms will come into force during 2024,” she said.
She added that the European private sector’s early commitment to invest in the processing and transformation of extracted resources, particularly green commodities, underscores the attractiveness of Namibia as a reliable, predictable, and forward-looking mining processing and manufacturing jurisdiction.
“We further wish to reassure our current and potential investors that significant business reforms are underway to support our ambitions of becoming a cost-effective production centre,” she said.
Meanwhile, she said Namibia must foster a conducive environment for businesses to invest, innovate and develop local value chains to realise its goal of inclusive economic advancement, job creation and prosperity for the people.
“This involves mutually supportive regulatory frameworks, infrastructure development, access to financing, and training programmes to cultivate a skilled workforce, a necessity for success in our partnership,” she added.
Meanwhile, Nandi-Ndaitwah underscored the pivotal role of the event in strengthening economic ties between Namibia and the European Union.
She highlighted that this long-standing partnership has been a catalyst for political dialogue, development cooperation and economic collaboration.
“This partnership is bearing fruit and is of mutual benefit, she said.
Nandi-Ndaitwah emphasised the shared vision of promoting balanced and mutually beneficial outcomes for both Namibia and the EU.
“The focus is on harnessing Namibia’s rich natural resources to transform the economies for the well-being of current and future generations. A specific session of the forum, titled ‘Aligning our policies on critical raw materials to enhance the security of supply and boost local value addition’, is dedicated to this purpose,” she said.
This comes as recent developments have revealed an increase in the global demand for critical raw materials, such as lithium, graphite, cobalt, nickel and manganese, which are abundant in Namibia.
The minister said the agreement on critical raw materials between the EU and Namibia is a golden opportunity for Namibia to derive substantial benefits from these resources.