President Hage Geingob has said the government is cognisant that Namibian society remains unequal; a position that cannot be retained if the equitable distribution of resources and the participation of all Namibians in economic development is to be attained.

Delivering the State of the Nation Address in the National Assembly on Thursday, Geingob said the government will continue to expedite implementation of supportive supply-side policies to diminish constraints to economic activities and facilitate the ease of doing business.

He noted that Namibia attracted foreign direct investment (FDI) worth N.dollars 13.2 billion, representing 7.2 per cent of the Gross Domestic Product (GDP), during the first nine months of 2022, following offshore oil discoveries.

The Head of State further said FDI inflows are likely to continue in 2023, referencing green hydrogen, which is demonstrating growing investor confidence in Namibia and has been allocated N.dollars 2.5 billion for the commencement of its feasibility study.

“Our economic trajectory indicates that Namibia has entered a period of revival, with green shoots on the horizon. I have the utmost confidence that to achieve economic emancipation for all, Namibia must be propelled forward by the collective efforts of the citizens. The success of our country does not depend on one singular person, but on each and every citizen,” he said.

Geingob added that Namibia’s domestic economy has demonstrated resilience, registering a better-than-expected growth of four per cent in 2022, with expectation for further growth forecasted at 3.2 per cent in 2023.

Despite the growth, Geingob indicated that financial exclusion remains a challenge in rural areas, the informal sector and for Micro, Small and Medium Enterprises (MSMEs), noting that the Bank of Namibia is coordinating the development of a new Financial Sector Transformation Strategy to achieve a higher degree of financial inclusion.

Geingob equally noted that with reference to the high cost of living and inflation for low-income earners, amongst others, the government has doubled the minimum tax threshold from N.dollars 50 000 to N.dollars 100 000 and the gradual reduction of the corporate tax rate from 32 per cent to 30 per cent.

Source: The Namibian Press Agency