The Development Bank of Namibia (DBN) says a N$4.5 billion loan provided by the African Development Bank (AfDB) in 2016 has created an estimated 1,800 job opportunities.
Among these new jobs, approximately 800 are within the land servicing and housing sectors. In 2016, DBN and AfDB as a primary financier entered into a loan agreement, extending over 17 years.
The funds from the credit line were allocated towards the financing of various projects within the infrastructure, manufacturing, logistics, and tourism sectors.
“These funds have been instrumental for DBN in pioneering renewable energy finance in Namibia. In addition, DBN funded 16 land delivery and housing projects to alleviate the lack of housing in the country,” the DBN said.
The collaborative efforts between DBN and AfDB have not only resulted in tangible outcomes such as infrastructure development and job creation but have also enhanced DBN’s capacity for governance and project monitoring.
“Besides providing much needed loans to viable projects, the credit line strengthened DBN’s in-house capacity for environmental monitoring of projects in line with international best practices. The engagement between the two development finance institutions also aligned DBN to best governance practice, which helped unlock funding from other development partners such as the KfW from Germany,” the DBN said.
This comes as AfDB’s Executive Director of Southern Africa Group II Constituency, João Ngimbi, visited the DBN as part of his consultation mission to Namibia.
The objective of the mission is to, amongst others, provide and update on recent developments at the AfDB and to engage with member countries on the formulation of the AfDB’s ten-year strategy.
During the meeting, the DBN reflected on its 20-year journey, with CEO, John Steytler, sharing that DBN’s strategy for the next five years has been submitted to the Minister of Finance and Public Enterprises for approval.
“The strategy is aligned to Vision 2023 and the Harambee Prosperity Plan II, and aims to position DBN as the financial partner of choice for innovative development solutions in Namibia. Leveraging development partnerships with other development finance institutions such as the AfDB, are a critical enabler of DBNs strategy.”
