Local ownership push risks ­Namibia’s appeal

Mining
From safe haven to uncertainty: Namibia's new mining policy stirs controversy.
Ogone Tlhage
  • 17 Hours Ago - 2025-08-29 00:00:00
Namibia’s plan to boost local economic participation through a proposed 51% local ownership requirement in new mining ventures, announced by mines minister Natangue Iithete, could risk undermining the country’s reputation as an investor-friendly destination.

Speaking on the Business 7 show, Tiaan Bazuin, CEO of the Namibia Securities Exchange (NSX), warned that the policy could deter foreign investment and disrupt Namibia’s long-standing appeal as a stable and predictable market. While the policy aligns with the government’s goal of equitable economic empowerment, Bazuin stressed that uncertainty, compounded by post-Covid economic challenges, might discourage companies from investing or listing on the NSX, potentially tarnishing Namibia’s image as a safe haven for international investors.

“I know that when the New Equitable Economic Empowerment Framework (NEEEF) was still under discussion, there was debate about what would qualify as compliance. At the same time, policy uncertainty kept many companies from entering the market. Post-Covid, we also saw that a lot of companies did not resume normal operations, which is often a reason why companies hesitate to invest or list,” Bazuin said.

He noted that the proposed policy shift had altered international perceptions of Namibia, which had traditionally been viewed as a safe and reliable investment destination.

“Post-Covid, if we have a clear and consistent policy framework, that helps. But this 51% ownership proposal has already thrown a spanner in the works. Policy certainty has always been one of Namibia’s key strengths,” he said.

Bazuin added that restoring investor confidence would require significant effort.

“The government has been working to improve communication, increase stakeholder input, and gather ­research. But statements like this create uncertainty, and investors often draw the most extreme conclusions. It takes far longer to repair a country’s image than it does to damage it.”