• Business & Economy
  • Companies
  • Agriculture
  • Technology
  • Africa
Thursday, September 4, 2025
The Brief | Namibia's Leading Business & Financial News
  • Home
  • Companies
    • Finance
    • Agriculture
    • Technology
    • Trade
    • Tourism
  • Business & Economy
  • Mining & Energy
  • Opinions
    • Analysis
    • Columnists
  • Property
  • E-Editions
No Result
View All Result
  • Home
  • Companies
    • Finance
    • Agriculture
    • Technology
    • Trade
    • Tourism
  • Business & Economy
  • Mining & Energy
  • Opinions
    • Analysis
    • Columnists
  • Property
  • E-Editions
No Result
View All Result
The Brief | Namibia's Leading Business & Financial News
No Result
View All Result
Home Latest

Underfunded rail sector weakens Namibia’s logistics ambitions

by reporter
September 1, 2025
in Latest, namibia
50
A A

Namibia’s bid to establish itself as a regional logistics hub is being hampered by an underdeveloped rail network, with analysts warning that continued neglect could undermine trade competitiveness.

Simonis Storm junior economist Almandro Jansen said while progress has been made in ports and airports, rail remains the “missing link” in the logistics chain.

“Over the past decade, the government has consistently allocated far larger budgets to roads than rail, funding road maintenance and expansion while the rail sector has been left chronically underfunded,” he said.

Jansen explained that this imbalance has forced cargo onto Namibia’s roads, raising costs and accelerating highway deterioration.

He noted that heavy cargo from Zambia and the Democratic Republic of Congo, which could transit through Walvis Bay by rail, is instead rerouted south.

 “Cargo that could transit through Walvis Bay by rail is often rerouted south because Namibia’s network cannot handle the volumes. The missing rail link has become a regional bottleneck,” he said.

Transport statistics underline the reliance on other modes. In June 2025, sea accounted for 56.7% of exports, mostly uranium and fish, air 23.6% driven by gold and diamond exports, and road 19.7%, largely into regional markets. Imports were dominated by road at 60.5%, reflecting dependence on South African corridors.

“By gateway, Walvis Bay port remained the main artery, Hosea Kutako International Airport supported high-value goods, and border posts such as Ariamsvlei and Noordoewer were critical overland entry points. These hubs cannot reach their full potential without a stronger rail backbone,” Jansen added.

He welcomed skills reform initiatives, including the Ministry of Works and Transport’s Namibian Railway Qualification Framework, but warned that training alone is insufficient. “Training reforms will need to be paired with capital investment if rail is to play its intended role. South Africa’s Transnet, which outsourced freight corridors to private operators, offers a model Namibia could consider,” he said.

According to Jansen, private participation in key corridors such as Walvis Bay–Grootfontein, the Otavi–Tsumeb mining belt, and the Ariamsvlei–Lüderitz line could attract funding for track upgrades and locomotives, easing pressure on TransNamib and expanding cargo throughput. “Redirecting even part of the billions allocated to roads into rail modernisation would transform Namibia’s logistics. A stronger rail system would lower transport costs, protect roads from heavy trucks, and boost Walvis Bay’s competitiveness,” he said.

Jansen cautioned that without reform, Namibia’s trade will remain constrained. “Addressing the missing rail link is not just logistics, it is structural trade policy. With reforms, Namibia can rival Durban and Maputo as a Southern African gateway and anchor its trade growth on a more resilient foundation,” he said.

His remarks echo those of Parliamentary Standing Committee Chairperson Iipumbu Shiimi, who recently warned that government’s funding priorities risk undermining its transport hub ambitions.

“16 billion on roads, 4 billion on railways, while the need is actually the other way around. So if you really want to build a transport hub, much of the emphasis must now go to railway,” Shiimi said.

Shiimi added that while roads remain important, Namibia’s outdated railway network—much of which dates back to before the 1960s—requires urgent investment.

He said prioritising projects such as the planned line to Katima Mulilo could deliver significant economic and logistical benefits.

author avatar
reporter
See Full Bio
Tags: africa newscompanieseconomyfinancenamibianamibia news
Share24Tweet15Share4
Previous Post

FNB Namibia empowers youth through financial education

Next Post

EU pledges deeper cooperation with Namibia on green hydrogen and governance

MUST READ

Nandi-Ndaitwah warns on mining reliance, pushes for farming focus
namibia

Nandi-Ndaitwah warns on mining reliance, pushes for farming focus

September 3, 2025
NamPost appoints Eldorette Harmse as Acting CEO
Latest

NamPost appoints Eldorette Harmse as Acting CEO

September 3, 2025
NTB moves to position Namibia as competitive MICE destination
Latest

NTB moves to position Namibia as competitive MICE destination

September 3, 2025
Global financial inclusion forum off to lively start in Swakop
namibia

Global financial inclusion forum off to lively start in Swakop

September 3, 2025
WKH appoints Tshuka Luvindao as Managing Director Designate amid rebrand
Latest

WKH appoints Tshuka Luvindao as Managing Director Designate amid rebrand

September 3, 2025
#TogetherWeCan Raise a Money-Smart Generation
Latest

#TogetherWeCan Raise a Money-Smart Generation

September 3, 2025
Next Post
EU pledges deeper cooperation with Namibia on green hydrogen and governance

EU pledges deeper cooperation with Namibia on green hydrogen and governance

Related News

Namibia to announce multiple oil drilling projects in 2024

Namibia to announce multiple oil drilling projects in 2024

July 2, 2023
BoN moves to strengthen banking sector supervision

BoN moves to strengthen banking sector supervision

March 15, 2023
Shiimi bows to pressure, postpones FIMA regulations

Shiimi bows to pressure, postpones FIMA regulations

May 13, 2022

Browse by Category

  • Africa
  • Agriculture
  • Analysis
  • Business & Economy
  • Columnists
  • Companies
  • Finance
  • Finance
  • Fisheries
  • Green Hydrogen
  • Health
  • Investing
  • Latest
  • Market
  • Mining & Energy
  • Namibia
  • namibia
  • News
  • Opinions
  • Property
  • Retail
  • Technology
  • Tourism
  • Trade

CATEGORIES

  • Business & Economy
  • Companies
    • Agriculture
    • Finance
    • Fisheries
    • Health
    • Property
    • Retail
    • Technology
    • Tourism
    • Trade
  • Finance
  • Green Hydrogen
  • Investing
  • Latest
  • Market
  • Mining & Energy
  • namibia
  • News
    • Africa
    • Namibia
  • Opinions
    • Analysis
    • Columnists

CONTACT US

Cell: +264814612969

Email: newsdesk@thebrief.com.na

  • Home
  • Companies
  • Business & Economy
  • Mining & Energy
  • Opinions
  • Property
  • E-Editions

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Companies
    • Finance
    • Agriculture
    • Technology
    • Trade
    • Tourism
  • Business & Economy
  • Mining & Energy
  • Opinions
    • Analysis
    • Columnists
  • Property
  • E-Editions