Namibia has been singled out as a priority growth market within Nedbank Group’s Africa Regions segment, underpinned by anticipated oil and gas investment, expanding corporate banking activity and rising demand for infrastructure and energy finance.
In its latest financial report, Nedbank said Mozambique and Namibia remain its primary focus markets outside South Africa, citing strong prospects across the energy, infrastructure and resources sectors.
“We aim to unlock further value in Mozambique and Namibia as key drivers in their energy, infrastructure and resources sectors present significant growth opportunities,” the bank said.
Nedbank Group Chief Executive Jason Quinn said performance within the Nedbank Africa Regions business reflects the group’s strategic emphasis on client growth and regional expansion.
He noted that active clients within the segment now account for a substantial share of the group’s overall client base, with 70% digitally active. Quinn highlighted Namibia’s contribution to loan growth and regional profitability.
“Namibia’s outlook is improving as the final investment decision on oil and gas is due in 2026, and our wholesale banking activities are benefiting from increased corporate engagement,” he said.
Quinn added that return on equity for 2026 is expected to remain above 15%, with medium-term growth projected at around 17%, supported by stronger revenue growth and disciplined cost management.
For the financial year ended 31 December 2025, gross loans and advances in the Africa Regions segment increased by 20%, largely driven by strong wholesale lending growth in Namibia and Mozambique.
In Namibia, the bank pointed to an improved macroeconomic outlook, with a final investment decision on major oil and gas developments anticipated next year. Credit impairments in the country declined by 7% to R292 million, reflecting improved recoveries and adjustments to expected credit losses.
Across the Southern African Development Community region, net interest income rose 9% to R2.928 billion, while net income from fees and commissions increased 5% to R1.841 billion, supported by higher corporate and transactional activity.
Nedbank has also expanded its distribution footprint in Namibia. Physical points of presence increased to 81 in 2025, while cash-accepting ATMs rose to 52 from 31 the previous year, with further growth planned.
The bank said Nedbank Namibia had partnered with ATM Solutions to lease and maintain infrastructure, offering both card-based and cardless services. Nineteen sites were activated in 2025, with a further 15 scheduled for 2026.
At group level, Nedbank reported headline earnings of R17.2 billion for the year ended 31 December 2025, up 2% from the previous year. Return on equity stood at 15.4%, remaining above the group’s cost of equity.
The bank described 2025 as a transformational year, citing the restructuring of its Retail and Business Banking and Wealth clusters, the acquisition of fintech firm iKhoka, and an offer to acquire a 66% stake in Kenya-based NCBA Group as key strategic developments.
