FNB Namibia has committed N$1 billion to support local SMEs participating in Namibia’s oil and gas value chain, as well as the broader energy and extractive sectors.
This commitment will be facilitated through a memorandum of understanding signed between the bank and Nigeria’s Moneda Capital Management, along with Ino Capital Investments Limited.
“This partnership aims to establish a Local Content Accelerator Programme, offering a structured, non-exclusive framework for cooperative engagement between the parties. This collaboration will enable the growth of SMEs and facilitate the development of local suppliers and contractors in Namibia’s vital energy, oil, and gas sectors,” the bank said.
The agreement will further establish a Local Content Accelerator Programme to promote SME development and build capacity among local suppliers and contractors.
Chuka Okafor, Specialized Finance and Strategic Advisor to FNB Commercial, underscored the significance of SMEs and the local content ecosystem to Namibia’s economy.
“As oil and gas grow, people will need professional services. Everything around that ecosystem is what we’re looking to capture. We’re looking at the entire value chain—any SME that can add value,” he said.
“That will be supported by a local content policy, which has been tabled but not yet formalized. Once formalized, it will clearly define how local players can insert themselves into the value chain,” he told The Brief.
Moneda Capital CEO, Ejike Egbuagu, noted that despite Namibia’s oil and gas potential, banks and financial institutions need to develop an appetite for the unknown.
“Oil and gas represent the unknown in Namibia. This partnership provides the right foundation, backed by our experience operating in Nigeria, the DRC, and other parts of Africa. We believe we can bring that expertise to Namibia and jump-start SME financing in this critical space,” he said.
Moneda Capital’s role will be to accelerate the development of SME financing within the oil and gas sector.
FNB Namibia’s financial capital will be complemented by operational and risk capital provided through the Moneda-Ino Investments platform, which aims to build the capacity and enhance the operational capabilities of qualifying SMEs in the sector.
