Introduction to Namibia

The Republic of Namibia is bordered by the Atlantic Ocean in the west, by Zambia and Angola to the north, Botswana to the east and South Africa to the south and east.

Namibia has a population of about 2.4 million people on an area of 824,292 sq km. Agriculture, herding, tourism and the mining industry – including mining for gem diamonds, uranium, gold, silver, and base metals – form the basis of its economy. The large, arid Namib Desert has resulted in Namibia being overall one of the least densely populated countries in the world. Namibia enjoys high political, economic and social stability. Namibia is a member state of the United Nations (UN), the Southern African Development Community (SADC), the African Union (AU), and the Commonwealth of Nations.

It is estimated that about 33,700 MSMEs (of which approx. 15,000 are formally registered) do business in Namibia and provide some form of employment and income to 160,000 Namibian citizens, which - in return - represents approx. one third of the country’s workforce. MSMEs make up approx. 12% of the Namibian GDP. Even though there seems to be a higher rate of job loss among MSMEs than among larger businesses, the number of jobs created overall by MSMEs tends to mitigate this effect, resulting in a higher annual net job creation for MSMEs than for larger or corporate businesses. MSMEs operate across all sectors of the economy, with the majority of them being retail traders, food processors or involved in other manufacturing. Others are engaged in general service provision, tourism, financial services, transport and agriculture.

The National Policy on Micro, Small and Medium Enterprises in Namibia from 2016 sets a reviewed definition for Namibian MSMEs, which complies with internationally acknowledged standards and which shall make it easier to generate accurate information on MSMEs in the country in order to be able to develop and foster a continuous growth of the MSME sector in Namibia.

 

CategoryNo. of full-time employeesAnnual turnover (N$) / USD
Micro enterprise1 to 10and/or


< 300k / 20,000
Small enterprise11 to 30> 300k < 3m / < 200,000
Medium enterprise31 to 100> 3m < 10m / < 700,000

 

 

Nambia

OUR PARTNERS

The technical assistance operation is financed under the Cotonou agreement by the EU in support of EIB.
The Technical Assistance component of the project is implemented in a consortium led by Frankfurt School of Finance & Management.