CAPE TOWN: Namibia invested N$110 billion in South Africa last year in the form of pension funds, long-term insurance and other investments, President Hage Geingob told an investment meeting in Johannesburg yesterday. Dubbed ‘Invest in Namibia International,’ the conference was also attended by Jeff Radebe, minister in the presidency of South Africa, among other officials.
“South Africa and Namibia are nations whose past, present and future are deeply intertwined. South Africans and Namibians have fought together, died together and ultimately, achieved freedom together,” said Geingob. The President noted that African countries have neglected intra-African trade. Intra-African trade stands at around 13%, compared to approximately 60% and 40 % intra-regional trade which has been achieved with Europe and North America, respectively.
South Africa has always been Namibia’s top trading partner for both imports and exports. “I must, however, note that the trade deficit disproportionately tilts in favour of South Africa. In 2014, Namibian imports from South Africa were recorded at N$51 billion, while exports to South Africa were recorded at N$8 billion,” he stated. Last year, the trade deficit widened, and imports were recorded at N$62 billion, while exports totaled N$11,4 billion.
According to the South African Department of Trade and Industry, South African exports to Namibia constitute 5% of South Africa’s global trade. “I am convinced that given the levels of South African industrialisation, we in Namibia should be able to benefit by leveraging the opportunities that this economy provides. For example, why should we purchase a Puma Helicopter from France when these helicopters are also produced under licence and assembled in South Africa? By doing so, we will have the benefit of the vehicle or machine quoted in South African rand, and benefit from the advantage of paying in local currency,” he said. The President said Namibia remains committed to creating an enabling environment for the full participation of the private sector in the economy.
