Economist Robin Sherbourne says effective policies will play a critical role in driving Namibia’s economic prosperity, particularly in light of its recent oil and gas discoveries.
Sherbourne emphasised that good governance and well-crafted policies are far more influential than natural resources or population size in determining a country’s long-term economic success.
“The policies we implement in the coming years will significantly shape our future trajectory. Success or failure hinges not on our natural resources or population, but on the quality of our economic policies,” he said.
He further explained that key legislation, such as the National Equitable Economic Empowerment Bill (NEEB) and the Minerals Act, remains incomplete or outdated, creating uncertainty for investors.
He said excessive bureaucracy and ministerial discretion have hindered investment and discouraged entrepreneurship.
“In 2019, the new Minerals Act was still under review. The Chamber of Mines has indicated that the government aims to complete consultations on the draft bill by 2024 and proceed with implementation. This significant piece of legislation has been under review for over two decades, and the current draft is being considered by the Ministry of Mines and Energy,” Sherbourne said.
He also said the economic costs of these policy delays and inefficiencies are substantial and suggested that Namibia has already incurred significant economic losses due to the lack of progress in these areas since 2015.
“The point I’m trying to make is that we’re on the brink of a significant influx of foreign direct investment, yet critical legislation remains incomplete. This uncertainty about the rules of the game could hinder our ability to capitalise on opportunities in sectors like oil and gas, green hydrogen, and job creation. If we don’t establish clear and favourable policies, we risk missing out on these benefits,” he said.
Furthermore, Sherbourne also emphasised that small businesses, which are crucial for job creation and economic diversification, are particularly vulnerable to bureaucratic hurdles and policy uncertainty.
