CoW, GRN debt swap deal on the cards

12 February 2021 | Government

The City of Windhoek (CoW) has offered government a N$350 million debt swap deal.
A debt swap is a refinancing deal in which a debtor gets an equity position in exchange for the cancellation of the debt. It is generally done to help a struggling entity continue to operate.
Mayor Job Amupanda announced the envisaged deal last night during the Windhoek municipality’s first council’s meeting of the year.
Amupanda said this forms part of the mutual relationship that CoW intends to foster between itself and government.
The offer was made to Urban and Rural Development Minister Erastus Uutoni at a meeting in Otjiwarongo recently during an induction workshop for local authority councillors. “We proposed to the minister the matter of debt swap between the City and Government which will help in improving our books and financial situation. This debt currently stands at more than N$350 million,” Amupanda said.
The City also informed Uutoni of its readiness to work with the ministry and assist the local authority sector given its capacity, resources and positionality.

GRN subsidy sought
The City also wants to be subsidised by government.
“Our investigation is that this situation is unique to Namibia. Cities like Cape Town, Johannesburg, and even London receive subsidies from the State. We also raised the government’s financial obligations in terms of the Fire Brigade Services Act,” Amupanda said.
He described the discussions with Uutoni as cordial while a follow-up meeting is in the pipeline.
Uutoni could not be reached for comment.
During the four-hour-long deliberations, Amupanda told councillors that the modus operandi at CoW will be different.
He was responding to Swapo’s Fransina Kahungu who wanted to cut a debate short, citing that the meeting was spending too much time on petty issues. “We don’t want to take political decisions here. We want to do things by the law. We don’t want to sue or the council to be sued unnecessarily. That thing will not happen under this leadership. It’s going to be different,” Amupanda said.
According to the mayor, preceding councils dominated by Swapo took political decisions that haunt the City to this day.
The meeting was adjourned at around 22:00 and shelved for Monday at 14:00 as some matters on the agenda were not decided on. – Nampa

Similar News

 

Gobabis muni in the red

1 week ago - 02 May 2021 | Government

Gobabis mayor Elvire Theron said the town currently owes NamPower N$13 million in arrears.Theron, in a media statement, stated that the arrears inherited by the...

‘Bring a buddy to parly!’

1 month - 17 March 2021 | Government

The office of the Speaker and the Namibia Nature Foundation launched the ‘Bring a buddy to parly’ initiative earlier this week, which is aimed at...

On death and taxes

1 month - 14 March 2021 | Government

Despite the dire economic situation caused by Covid-19, government plans to honour financial obligations towards creditors, suppliers and employees, as well as statutory obligations including...

Local procurement pushed

1 month - 14 March 2021 | Government

Government has in the past three years pumped in N$1 billion into the public procurement process to promote locally registered companies and hopes to continue...

Doing it for themselves

2 months ago - 09 March 2021 | Government

Gobabis mayor Elvire Theron said that her municipality is reverting to internal debt collection measures and will no longer be seeking external services to handle...

CoW cuts electricity

2 months ago - 26 February 2021 | Government

With N$1 billion owed to the City of Windhoek (CoW), the municipality last night announced that it will disconnect all accounts that are in arrears...

IDs for undocumented and stateless persons

2 months ago - 14 February 2021 | Government

Cabinet has instructed the Ministry of Home Affairs to draft relevant legislation to legalise the status of undocumented and stateless persons in the country.The Minister...

Gender ministry visits Omaheke

6 months ago - 20 October 2020 | Government

Deputy minister of gender equality, poverty eradication and social welfare, Bernadette Jagger, yesterday paid a courtesy call on Omaheke governor Pijoo Nganate as part of...

SWAFT/Koevoet members repatriated

7 months ago - 12 October 2020 | Government

The 41 former South West Africa Territorial Force (SWATF) members who have been camping at Herero Commando Hall in Katutura for the past six years,...

Land remains a hot potato

7 months ago - 08 October 2020 | Government

Windhoek • [email protected] scorecard on how the country has fared in terms of implementing the 40 resolutions taken two years ago at the second national...

Latest News

Collaborations is key

1 hour ago | Technology

Deputy Minister of Information and Communication Technology, Emma Theofelus has called on young women to collaborate to reach wider audience and build stronger portfolios for...

Talks about debts and financial...

1 hour ago | Local News

Windhoek · [email protected] next Future Females Windhoek talks will focus on escaping debt and creating a financial freedom mindset.According to organiser Adel Oosthuizen, the financial...

How servitude impacts property values

2 hours ago | Life Style

When searching to purchase a property, most buyers are on high alert for any excuse to hackle down on price. Discovering that a property comes...

New owners for iconic Safari...

1 day - 12 May 2021 | Tourism

Funds advised by Kasada Capital Management today announced the acquisition of the 414-key Safari Hotels and Conference Centre in Windhoek. This transaction will be made...

Chill with Windhoek Express

2 days ago - 12 May 2021 | Art and Entertainment

Recurring events• 07:00 Bio-Markt / Green Market at the Stephanus Church (Dr Kenneth Kaunda Street) in Windhoek until 12:00.• 08:30 The weekly Inspire Market features...

Government in catch 22 on...

2 days ago - 12 May 2021 | Local News

While acknowledging that the majority of Namibians rely on the national broadcaster for information, Prime Minister Saara Kuugongelwa-Amadhila conceded that government cannot meet its employees’...

Murorua takes over BAN reigns

2 days ago - 12 May 2021 | Banking

The Bankers Association of Namibia (BAN) announced that Nedbank chief executive Martha Murorua has taken over the reigns as chair from Ester Kali, CEO of...

Bowling on a roll

2 days ago - 12 May 2021 | Sports

Namibia Bowling Association (NBA) president Michael Wells has expressed his pleasure at the improved performance of players at the recently held Namibia National Bowling Championships.The...

Virtual international training for local...

2 days ago - 12 May 2021 | Sports

Eight Namibian soccer coaches will take part in an international instructor’s course organised by the German Football Federation and Botswana Football Association to help improve...

Load More