Old Mutual Namibia has attracted N$7.8 billion in investments into its Mauritius-domiciled fund, a key savings vehicle for foreign investors.
The fund, which offers exposure to international money markets, has seen significant inflows as investors seek stability in US dollar-based instruments.
“In Namibia, we provide access to international money markets through our unit trusts, which are domiciled in Mauritius. These trusts serve as a vital savings vehicle for Namibians. Being US dollar-based, they have attracted significant inflows, making them an appealing option for the local population and others,” said Clement Chinaka, Managing Director of Old Mutual Africa Regions, in an exclusive interview with The Brief.
Chinaka attributed the strong inflows to increased investor caution amid global market uncertainties.
“I think as people get jittery about what’s happening in markets, etc., as the world over does, people prepare to invest in US dollar instruments, and we are glad to have a proposition that meets that need,” he said.
Beyond the Mauritius-based fund, Old Mutual is driving expansion efforts in Namibia, including growing its customer base through Old Mutual Rewards.
“We are going to be driving the growth and the signing up of our customers onto Old Mutual Rewards in Namibia. It’s a big one that we will also be driving,” Chinaka said.
He emphasized that this aligns with the broader Old Mutual Africa Regions strategy, which has shifted from business fixes in West and East Africa to a focus on organic growth.
“Old Mutual is expanding across multiple business lines, including life insurance, property and casualty insurance, asset management, and lending. We have one [lending operation] in Namibia and another one in Kenya and Zimbabwe,” Chinaka said.
The company is also introducing new savings and income products across Africa, including a SADC retail funeral policy in Malawi, Botswana, Eswatini, and Zimbabwe.
Meanwhile, in Kenya, Old Mutual is set to launch OML Thrive, a wellness and financial rewards program designed to encourage both physical and financial fitness.
This expansion comes as Old Mutual Group records its highest profit since 2019, driven by strategic restructuring and investment efforts under the leadership of Group CEO Iain Williamson.
Old Mutual Group reported a 4% increase in overall profits, reaching N$8.7 billion for the financial year ended 31 December 2024.
According to Chinaka, this is consequent from the group’s strategy which since 2020 has been structured into two key pillars: protecting and growing core markets, primarily in Southern Africa, including South Africa, and unlocking new growth engines in banking and East and West African operations.
“The biggest performer, especially compared to last year, is Old Mutual Insure. Old Mutual Insure has suffered over the past years from weather-related issues, poor underwriting margins, and expense control. We’ve gone through a period of fixing all those, and now that business has come through quite well,” he explained.
Chinaka highlighted a broader trend of financial growth, noting that Old Mutual Wealth in South Africa has also attracted strong inflows.
The Old Mutual Africa Regions portfolio has seen notable profit increases, from R490 million in 2019 to R1.1 billion today.
“We are quite happy that all of our front-facing segments at Old Mutual Limited now deliver at least a billion Rand in profit,” he said.
