Namibia attracted N$151 billion in foreign direct investment between 2021 and 2024, driven largely by growing global interest in the country’s oil and gas, mining, green hydrogen and infrastructure sectors.
The figure significantly exceeds the N$50 billion recorded between 2009 and 2020, highlighting the sharp rise in investor confidence in Namibia’s economy.
This emerged during a webinar hosted by Cliffe Dekker Hofmeyr (CDH), where experts from the firm’s Namibian practice unpacked trends driving investment into the country.
Patrick Kauta, Managing Partner and Director of Dispute Resolution, said while recent foreign investment inflows had been substantial, much of the capital had gone towards exploration activities, particularly in oil and gas.
“The challenge now is to convert foreign direct investment into tangible improvements like job creation,” he said.
Ilda Lomba, Director of Corporate and Commercial, said Namibia’s National Development Plan Six (NDP6) aims to position oil and gas as drivers of industrialisation rather than simply export sectors.
“The focus is on value addition and beneficiation, rather than exporting raw resources,” she said.
“In essence, the plan shifts Namibia from a raw resource exporter to a resource-based industrial economy, aligning natural resources development with long-term national growth.”
The mining sector, which contributes around 13% to Namibia’s GDP, was also identified as a key growth sector.
Magano Erkana, Director of Banking, Finance and Projects, said government was targeting an increase in processed mineral exports from 46.6% to 57% by 2030 while aiming to attract N$30 billion in new mining investment.
Erkana said mining projects are expected to generate capital expenditure of more than N$2.8 billion and create over 500,000 jobs by 2030.
Infrastructure development was identified as central to Namibia’s ambitions of becoming a regional logistics and industrial hub.
“Within the framework of the public-private forum, which is an institutionalised public-private dialogue that was launched in October 2025, it’s meant to facilitate collective effort and joint ownership by both public and private sectors in order to achieve the set goals,” Erkana said.
She said government is prioritising developments such as warehousing facilities, logistics parks and expansion of the Trans-Kalahari, Trans-Caprivi, Trans-Kunene and Trans-Oranje corridors.
Lomba said energy infrastructure remains critical for commercialising Namibia’s oil and gas discoveries.
“Without it, discoveries cannot be commercially developed,” she said, citing the need for refineries, gas-to-power facilities and expanded port and storage infrastructure.
Mercy Kuzeeko, Director of Tax and Exchange Control, said investors entering Namibia must carefully structure their investments.
“Investors really have to determine the mode of entering the country and how they intend to fund their investment,” she said.
Kuzeeko said Namibia’s source-based tax system offers certainty for investors, although proposed legislative changes could affect how future investments are structured.
The experts also cautioned that local content requirements would need to be carefully balanced to avoid discouraging investment while ensuring Namibians benefit from the country’s natural resource boom.
Erkana said government is currently reviewing legislation, including a proposed Minerals Bill and Investment Promotion and Facilitation Bill, aimed at reducing red tape and supporting business growth.
“Government is looking to create an environment in which businesses can grow and create jobs. The creation of this enabling environment includes removing barriers, cutting red tape, and ensuring that enterprises thrive and FDI continues to increase,” she said.
Kauta said Namibia is undergoing a major economic transition.
“Namibia is moving from a source economy to a competitive economy,” he said.
