The Bank of Namibia (BoN) has provisionally authorised four entities to provide payment and virtual asset services in the country for six months.
Kazembire Zemburuka, BoN’s Director of Strategic Communications and International Relations, stated that the decision aligns with the central bank’s regulatory mandate under the Payment System Management Act, 2023 (Act No. 14 of 2023) and the Virtual Assets Act, 2023 (Act No. 10 of 2023).
“The regulatory authorisation process involves a two-step approach. Upon completing the assessment, a provisional licence is issued with specific pre-authorisation conditions, and once those conditions have been satisfied, only then can a full operational licence be granted,” said Zemburuka.
Finatic Technologies (Pty) Ltd and United PayPoint (Pty) Ltd have received provisional authorisation under the Payment System Management Act, 2023, to offer payment services.
Meanwhile, under the Virtual Assets Act, 2023, Mindex Virtual Asset Exchange (Pty) Ltd and Landifa Bitcoin Trade CC have been authorised to operate as virtual asset service providers.
The provisional licences are subject to strict conditions, with the entities restricted from conducting business or engaging with individuals or entities in Namibia during the six-month authorisation period.
“This restriction ensures that all regulatory compliance requirements are fully met before operations begin,” Zemburuka explained.
If the entities meet the conditions within the stipulated time frame, the BoN may issue full licences, allowing them to commence official operations.
Zemburuka reaffirmed the central bank’s commitment to maintaining a secure and regulated financial environment, noting: “The Bank of Namibia remains committed to fostering a secure and regulated financial environment in the country and will continue to provide updates on the progress of these entities.”
The Virtual Assets Act of 2023, which became operational in July, empowers the BoN to licence and regulate Virtual Asset Service Providers (VASPs) and Initial Token-Offering Service Providers (ITOSPs).
Namibia is now the third Sub-Saharan African country to implement comprehensive legislation aimed at regulating this sector and safeguarding the public against potential risks.
