Thursday, October 1, 2026
Subscribe
The Brief | Namibia's Leading Business & Financial News
  • Home
  • Companies
    • Finance
    • Agriculture
    • Technology
    • Property
    • Trade
    • Tourism
  • Business & Economy
  • E-PAPERreader
  • Mining & Energy
  • Opinions
    • Analysis
    • Columnists
  • Africa
No Result
View All Result
The Brief | Namibia's Leading Business & Financial News
  • Home
  • Companies
    • Finance
    • Agriculture
    • Technology
    • Property
    • Trade
    • Tourism
  • Business & Economy
  • E-PAPERreader
  • Mining & Energy
  • Opinions
    • Analysis
    • Columnists
  • Africa
No Result
View All Result
The Brief | Namibia's Leading Business & Financial News
Subscribe
No Result
View All Result
Home Companies Finance

RFA forecasts vehicle maintenance bill at N$42 billion by 2028

by editor
November 1, 2023
in Finance
6
A A

The Road Fund Administration (RFA) has warned that the condition of the road network and the growing funding gap are expected to drive vehicle maintenance costs for Namibians to a staggering N$42 billion by 2028. 

According to RFA’s Executive for Programme Management and Policy Advice Namene Kalili, from a mere N$2 billion in 2000, these costs have surged to N$19 billion in 2022, a trend that Kalili described as “unsustainable.”

“Clearly this is unsustainable and therefore RUCs (road user charges) need to be ramped up to maintain the road network to its original design specification,” he said. 

The RFA’s concerns are supported by an alarming revelation from the RFA’s deterioration model. 

Kalili noted that for every N$1.00 not allocated to maintenance, road users are forced to spend an additional N$2.90 on vehicle operating costs. 

“This ultimately results in a net loss to society amounting to N$1.90. The deteriorating road condition and high transport costs are largely attributed to suboptimal maintenance practices,” he explained.

Therefore, the RFA argues that it is in the best interest of the public to increase road user charges, ensuring that they cover the full spectrum of maintenance needs and, in turn, reduce vehicle operating costs.

However, it’s important to note that the situation has been exacerbated by persistent underfunding over the years. Shockingly, no comprehensive road condition assessment has been conducted since 2019.

Recognising the importance of evidence-based maintenance planning, the RFA has prioritised funding for a new road condition assessment in its previous business plan. 

The RFA is actively collecting necessary data throughout the country, and the results of this assessment are expected by the end of the current financial year, with plans to incorporate them into subsequent Business Plans. 

Meanwhile, RFA board Chairperson Emma Haiyambo expressed her concerns during her keynote address at the 2023 Annual Business Plan Stakeholders’ Consultative Workshop. 

She highlighted the importance of addressing the escalating funding gap, which has reached N$3.6 billion. 

“This level of underfunding will erode road asset value and raise vehicle operating costs. So, I’m hoping to learn how (RFA) management plans to address these funding challenges over the next five years,” Haiyambo pointed out. 

The RFA notes that the forthcoming road condition assessment results and strategies outlined in the Business Plans will play a pivotal role in addressing these challenges and paving the way for a more sustainable road infrastructure in Namibia.

author avatar
editor
See Full Bio
Previous Post

40% of Namibians owe personal loans

Next Post

RFA seeks fuel levy hike to boost revenues

Must Read

Bank Windhoek named Namibia’s Banking Brand of the Year
Finance

Bank Windhoek employees to get 6% salary increase, 20% transport allowance hike

October 1, 2026
Modern office building with a striped glass facade, curved balconies on the left, and a red 'Capricorn-on-Main' sign at ground level.
Finance

GCR affirms Capricorn at AA, Bank Windhoek at AA+ with Stable outlook

October 1, 2026
Progressive coin stacks topped with small trees and a rising line graph, symbolizing financial growth and investment returns.
Finance

Investment managers’ assets hit N$353.8bn as NBFI sector grows to N$577.2bn

September 30, 2026
Two men in suits shake hands while presenting a blue ceremonial cheque from the Namibian Ports Authority in an office with a stone wall and framed portraits.
Finance

Namport declares N$130m dividend as container throughput rises 48%

September 30, 2026
Public official in a gray suit speaks at a podium with a microphone; flags and a GIPF banner are in the background.
Finance

GIPF investments in Oshana reach N$466.9m

September 29, 2026
Person holding a stemmed glass of pink sparkling drink with the Bernini logo outdoors.
Finance

End of SA supply deal cuts NBL beer exports 38.2%, hits profit

September 28, 2026
Load More

Related News

New R3bn fund to invest in African start-ups

New R3bn fund to invest in African start-ups

February 1, 2022
90% of Namibian SMEs fail within first 5 years

90% of Namibian SMEs fail within first 5 years

November 6, 2024
Windhoek municipality appoints ICT executive

Windhoek municipality appoints ICT executive

August 8, 2023

Browse by Category

  • Africa
  • Agriculture
  • Analysis
  • Business & Economy
  • Columnists
  • Companies
  • e-edition
  • Finance
  • Finance
  • Fisheries
  • Green Hydrogen
  • Health
  • Investing
  • Latest
  • Market
  • Mining & Energy
  • namibia
  • Namibia
  • News
  • Opinions
  • Property
  • Retail
  • Technology
  • Tourism
  • Trade
The Brief | Namibia's Leading Business & Financial News

The Brief is Namibia's leading daily business, finance and economic news publication.

CATEGORIES

  • Business & Economy
  • Companies
    • Agriculture
    • Finance
    • Fisheries
    • Health
    • Property
    • Retail
    • Technology
    • Tourism
    • Trade
  • e-edition
  • Finance
  • Green Hydrogen
  • Investing
  • Latest
  • Market
  • Mining & Energy
  • namibia
  • News
    • Africa
    • Namibia
  • Opinions
    • Analysis
    • Columnists

CONTACT US

Cell: +264814612969

Email: newsdesk@thebrief.com.na

© 2026 The Brief | All Rights Reserved. Namibian Business News, Current Affairs, Analysis and Commentary

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Companies
  • Mining & Energy
  • Business & Economy
  • Opinions
    • Analysis
    • Columnists
  • Africa

© 2026 The Brief | All Rights Reserved. Namibian Business News, Current Affairs, Analysis and Commentary

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.