Namibian Defence Ministry budget overspending

An Auditor-General report revealed that Namibia’s Ministry of Defence and Veterans Affairs overspent its approved budget by N$252.9 million during the 2024/25 financial year, spending N$7.14 billion against an authorized N$6.88 billion. The overspending was primarily attributed to a 5% salary adjustment implemented in April 2024. Within the department, the Namibian Army recorded the highest overspend at N$114.97 million, followed by the Navy, Air Force, training division, and Special Forces.

The report also flagged a N$4 million payment to the Agrotour Development Initiative Project (ADIP) that lacked documented Cabinet or Treasury approval. While the ministry received an unqualified audit opinion, the situation has drawn significant political criticism.

Opposition leaders have challenged the government’s financial oversight, with IPC shadow finance minister Michael Mwashindange suggesting that ministries may use provisions within the State Finance Act to bypass parliamentary scrutiny. Additionally, PDM secretary general Manuel Ngaringombe has called for the release of the August 26 audit report to address concerns regarding budget compliance and accountability.