Namibia’s merchandise trade deficit narrowed by 19.8% to N$11.4 billion during the first five months of 2025 compared to the same period last year.
According to latest data, the improvement was driven by faster export growth, notably from uranium and gold, outpacing the rise in import payments.
This trade performance contributed to the country’s international reserves standing at N$57.4 billion at the end of May 2025, down from N$59.7 billion at the end of March 2025.
The decrease was mainly due to trade-related outflows, foreign currency withdrawals, and revaluation losses.
“This level of foreign reserves translates to an estimated import cover of 3.7 months, which is deemed adequate to sustain the currency peg between the Namibia Dollar and the South African Rand and meet the country’s international financial obligations,” said Bank of Namibia Governor Johannes !Gawaxab.
Amid these external sector dynamics, domestic economic activity expanded during the first four months of 2025, though at a slower pace than in 2024.
“The mining, tourism, wholesale and retail trade, transport, and communication sectors supported growth, while construction, agriculture, and the diamond mining subsector remained weak,” !Gawaxab noted.
Looking forward, real GDP growth is projected to rise slightly from an estimated 3.7% in 2024 to 3.8% in 2025 and 4.0% in 2026.
