Windhoek: Namibia and Botswana have advanced discussions on how natural resource wealth can be transformed into sustainable and inclusive prosperity, with both countries highlighting the importance of economic diversification, strong institutions, and saving for future generations. The discussion took place during a public lecture hosted by the Bank of Namibia (BoN) in collaboration with the University of Namibia (UNAM) in Windhoek on Friday. The engagement brought together BoN Governor Ebson Uanguta, Bank of Botswana Governor Lesego Caster Moseki, students, academics, professionals, and other stakeholders to discuss resource-led development, sovereign wealth management, investment, skills development, and long-term economic prosperity.
According to Namibia Press Agency, Uanguta, in his presentation titled 'Building Wealth Beyond Natural Resources: Creating Namibia's Next Growth Story', emphasized that while resources remain an important anchor of the economy, resource wealth alone cannot guarantee broad-based prosperity. This is particularly pertinent given Namibia's exposure to external shocks and its capital-intensive economic sectors. He pointed out the need for Namibia to focus on greater local value addition, technology transfer, knowledge development, and stronger domestic supply chains as the country explores opportunities in oil and gas, renewable energy, and green hydrogen.
Uanguta highlighted the Welwitschia Fund, established in 2022, as a crucial mechanism for converting temporary resource revenues into long-term financial assets for future generations. The fund consists of an Intergenerational Fund aimed at preserving and growing wealth for future generations, and a Stabilisation Fund, which provides a buffer during periods of revenue shortfalls. Additionally, Uanguta urged tertiary institutions to align research and curricula with national development priorities, while encouraging young Namibians to develop technical skills, entrepreneurial capacity, and innovations required by emerging industries.
On the other hand, Moseki shared Botswana's experience through a presentation titled 'The Pula Fund: Past, Present and Future'. He outlined how diamond revenues have supported infrastructure, education, healthcare, and social protection, while some wealth was preserved for future generations. Moseki cautioned that dependence on a single natural resource can create vulnerabilities when revenues decline. He stressed that Botswana's experience, including the emergence of lab-grown diamonds and weaker traditional diamond revenues, demonstrated the importance of diversifying the economy before resource revenues decline.
Moseki further emphasized that a sovereign wealth fund cannot be treated simply as a pool of assets, highlighting the need for clear rules, strong institutions, fiscal discipline, and a long-term national vision.