Bank Windhoek has to date disbursed N$152 million to 111 Small and Medium Enterprises (SMEs) under the SME Economic Recovery Loan Scheme, with additional loans to the value of over N$11 million approved and pending disbursement.
“These funds were disbursed to SMEs who were in good standing with the Bank and complied with the requirements of the Scheme,” Bank Windhoek’s Head of SME, Financial and Data Analytics, Bianca Janse Van Vuuren, said.
She said the bank’s participation in the SME Economic Recovery Loan Scheme—an initiative introduced by the Namibian Government in partnership with several local banking institutions, including Bank Windhoek, has demonstrated a keen understanding of the unique challenges faced by SMEs.
“The SME Economic Recovery Loan Scheme aims to stimulate economic growth and job creation by providing additional funding to SME businesses, enabling them to continue paying their operational expenses, acquire machinery, and retain and pay their employees. The Government created the scheme to assist SMEs during challenging financial situations,” Van Vuuren said.
“Collaboration has been a critical theme for the SME Division over the past year. Strengthening ties with stakeholders, the Division engaged in various information-sharing sessions with the Namibia Investment Promotion and Development Board (NIPDB), One Economy Foundation, and the Financial Literacy Initiative. This collaborative approach facilitated a deeper understanding of the challenges faced by SMEs and how financial institutions can assist them in navigating these challenges.”
She said Namibia is well-positioned to capitalize on the strengths of its SME sector by nurturing and supporting these enterprises, which according to Government’s Vision 2030 Agenda, play a pivotal role in shaping the country’s future, which aims to transform Namibia into an industrialized, food-secure, and prosperous nation.
“We can unlock a brighter future filled with innovation, economic growth, and abundant opportunities for all Namibians. Bank Windhoek understands this and actively supports the SME sector in line with Namibia’s National Development Agenda. For instance, Bank Windhoek’s SME Division has marked a year of noteworthy achievements, showcasing its commitment to supporting businesses and driving economic growth,” Bank Windhoek’s Head of SME, Financial and Data Analytics said.
Looking ahead, she said the Bank’s SME Division remains committed to driving growth and prosperity for small and medium-sized enterprises, despite facing various challenges.
“Namibian SMEs have proven their resilience and ability to innovate, remaining a vital source of new job opportunities. Their agility and close connection with local communities also make them a crucial platform for empowering women and the youth and assisting in reducing unemployment,” Van Vuuren said.
According to the United Nations, Small and Medium Enterprises (SMEs) and micro-enterprises constitute over 95% of all enterprises and account for two-thirds to one-half of total non-farm employment and Gross Domestic Product (GDP) worldwide.