Namibia’s tourism industry is showing signs of revival. Passenger arrivals reached 144 500 in the second quarter of 2025, with July posting the highest monthly inflow since the pandemic began. Restaurants surged 7.2%, and business travel strengthened. The recovery is real.
But government policy is stifling it at the border.
A new visa regime has created exactly the kind of friction that deters high-value visitors. Travellers now face a N$400 “administration fee” for manual visas-on-arrival, a cost meant to push them toward an e-visa platform. That platform is not yet available at all land borders and is plagued by technical glitches. The result: congestion, delays and frustration at Namibia’s points of entry.
Weak Growth Where It Matters
The GDP data clearly show the distortion. Hotels grew by only 0.9% in the quarter, while restaurants jumped by 7.2%. Visitors are eating out but not staying longer, not booking premium accommodation, and not spending at the levels the industry needs.
The contrast is stark. Restaurants can benefit from day-trippers and short-stay travellers. Hotels depend on tourists who arrive, settle in, and spend. When border procedures turn into bottlenecks, it is precisely those longer-stay, higher-spend visitors who think twice.
Red Tape at the Border
The problem is not demand. Passenger arrivals are at post-COVID highs. But instead of smoothing the path for more growth, the government has inserted friction. The new fee and dysfunctional e-visa system are not an incentive to travel; they are a deterrent.
Other sectors in the economy are faltering. Agriculture contracted 3.5% in the same quarter, manufacturing collapsed 9.7%, and household consumption fell by 7.2%. Tourism is one of the few segments posting consistent growth, yet it is being undermined by bureaucratic mismanagement.
A Costly Misstep
The short-term revenue from a N$400 levy cannot compensate for the longer-term loss in visitor spend. The figures are unforgiving: hotels barely above water, restaurants carrying the sector, and border congestion discouraging repeat visits.
The GDP report itself warns that Namibia’s growth streak is fragile and dependent on too few sectors. Tourism is one of those sectors. Undermining it with policy that clogs entry points is more than careless — it is self-defeating.
The Hard Lesson
Namibia has a chance to build a durable recovery in tourism. Passenger numbers show the appetite is there. But travellers will not wait in queues, wrestle with half-built systems, or pay fees that feel arbitrary. They will go elsewhere.
The data tell a simple story: restaurants are busy, hotels are not, and government policy is to blame. Namibia’s tourism revival is tripping not on lack of demand, but on its own red tape.
Briefly is a weekly column that is opinionated and analytical. It sifts through the noise to make sense of the numbers, trends and headlines shaping business and the economy with insight, wit and just enough scepticism to keep things interesting. THE VIEWS EXPRESSED ARE NOT OUR OWN, we simply relay them as part of the conversation.
