The African Development Bank Group (AfDB)’s support for Namibia’s tax administration reforms has enabled the Namibia Revenue Agency (NamRA) to collect a total of N$275.8 billion in less than five years ,a 67% increase in domestic revenue mobilisation since its establishment.
According to NamRA Commissioner Sam Shivute, the transformation of Namibia’s revenue system was made possible through successive budget support operations provided by the African Development Bank.
This follows the AfDB’s continued technical assistance and budget support between 2017 and 2022, which played a key role in establishing NamRA and strengthening Namibia’s public finance management and economic governance.
“Without the African Development Bank’s support, the agency may not have achieved this milestone. The agency aspires to be a world-class organisation, and our annual domestic revenue mobilisation has been growing consistently, exceeding expectations,” said Shivute.
In December 2024, the Bank approved a US$342,000 (approximately N$5.9 million) grant under the Middle-Income Country Technical Assistance Fund to finance the Namibia Tax Administration Technical Assistance Project.
The project aims to boost domestic revenue mobilisation by conducting specialised audits in key economic sectors, strengthening NamRA’s technical capacity, and improving data analytics systems.
These measures are expected to help close revenue leakages, enhance fiscal sustainability, and create greater budgetary space for government investment in social and economic development.
AfDB Chief Governance Officer Baboucarr Koma said that as official development assistance declines, strengthening domestic revenue collection has become essential for Africa’s fiscal resilience.
“By building NamRA’s institutional capacity, the Bank is helping to close revenue leakages and expand fiscal space, laying the foundation for sustainable economic development and improved quality of life for all Namibians,” said Koma.
Namibia’s tax performance continues to rank among Africa’s best, with a tax-to-GDP ratio of 26.2% in 2023, well above the continental average of 15.1%, according to the African Tax Administration Forum.
