Tunis:The Road Fund Administration (RFA) has reported a significant N$2.3 billion funding shortfall for the 2025/26 financial year. This deficit persists despite the organization generating N$4.06 billion in revenue and investing N$3.50 billion towards road preservation.
According to Namibia Press Agency, RFA Chief Executive Officer Ali Ipinge, speaking at the Urban Roads Management Conference held in the capital, highlighted that the funding gap has been reduced from a baseline of N$3.6 billion. However, this reduction only allowed for the approval of 62.4% of eligible requests, leaving many essential road maintenance projects without funding.
Ipinge cited several factors contributing to the funding challenges, including ageing infrastructure, expanding settlements, increasing costs for construction and maintenance, heavy traffic, and weather-related damage. He stressed the need for funding arrangements to adapt to these pressures while remaining affordable for contributors.
Investment in local authority road projects saw an increase, from N$229.2 million in 2024/25 to N$416.4 million in 2025/26. Ipinge also noted the consolidation of road information from 56 local authorities, covering over 4,600 kilometers of urban roads, which aims to enhance infrastructure management and funding decisions.
He advocated for predictable maintenance funding to enable authorities to plan and address damages promptly and called for improved revenue collection and compliance. Additionally, Ipinge suggested exploring new funding mechanisms in response to changing vehicle technologies and fuel consumption patterns.
Emphasizing the importance of funding being supported by realistic costs and proper planning, Ipinge stated that it is crucial to demonstrate completed projects' standards and improvements. He urged stakeholders to view the funding deficit as a catalyst for optimizing resource allocation and ensuring community-benefitting infrastructure improvements.