The Namibia Savings and Investment Association (NASIA) members managed over 75% of the $252 billion in assets under management (AUM) overseen by the country’s investment managers as of December 31, 2023.
The amount according to NASIA, is equivalent to 1.6 times Namibia’s GDP.
“This places Namibia seventh globally in terms of contractual saving rates, behind only developed countries,” NASIA CEO Jason Hailonga revealed at a NASIA Networking Series Event on Wednesday, which hosted a panel discussion exploring how Namibia’s long-term savings can drive sustainability and improve lives.
Despite this achievement, Hailonga said, Namibia faces stark contrasts as the world’s second most unequal society, trailing only South Africa, with just eight primary listings on the Namibia Stock Exchange (NSX), excluding Namibia Asset Management, indicating shallow capital markets.
“Namibia initiated early-stage investments a decade ago, yet progress has been slow due to regulatory hurdles and high costs,” he said.
Hailonga invited members and participants to engage in meaningful discussions, share best practices, and foster collaborations contributing to Namibia’s economic growth.
“Today’s topic is crucial: how can we mobilise Namibia’s long-term savings to better address development imperatives sustainably and enhance Namibians’ quality of life?” he posed to the guests.
“This discussion is timely and urgent, demanding strategies to achieve net-zero emissions by 2050 amid significant funding challenges and the need for transformative, rapid-scale changes to decarbonize and protect the planet. It is essential to contextualise this within Africa’s minimal contribution to climate change, yet its substantial impact, particularly in Namibia.”
Martin Inkumbi, CEO of GIPF, elaborated on the overarching question at the event: “How do we mobilise Namibia’s long-term savings to better address development imperatives sustainably and enhance them?”
He emphasized the need for economic growth, particularly in creating employment opportunities for the many young people entering the job market.
“Inkumbi highlighted the need for the right capital to seize specific investment opportunities, such as access to venture capital funds and mezzanine financing.”
He noted that sustainability, from the perspective of pension fund members, involves ensuring future pension annuities that can sustain their lifestyles, while also considering the broader environment and the economy’s impact on their livelihoods.
“Investments that improve the environment, both natural and social, impact what they perceive as sustainability,” he added.
The inaugural NASIA meeting aimed to foster impactful connections, ignite discussions, and uncover transformative opportunities.
