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2 clusters · 2 sources · 20 days · First seen · Last updated

Namibian economic growth and credit slowdown

Overview

The Namibian economy has faced downward pressure characterized by lowered growth forecasts and slowing credit expansion. In August 2026, the Bank of Namibia maintained its repo rate at 6.75% to protect international reserves and the currency peg with the South African rand. This decision followed a reduction in the 2026 economic growth forecast from 2.6% to 2.1%, driven by subdued activity in the mining, manufacturing, electricity, and transport sectors.

By September 2026, private sector credit extension showed signs of deceleration, falling to an annual growth rate of 4.2% in July. This slowdown was largely attributed to the corporate sector, where business credit growth slowed to 3.7% due to declines in overdrafts and various loans across the manufacturing, fishing, agriculture, and energy industries. While household credit remained resilient with a slight increase to 4.6%, overall credit growth outlooks have been lowered.

Entities

Bank of Namibia · Ebson Uanguta · Namibia · Simonis Storm · South African Reserve Bank

Timeline

  1. 14 days ago

    [BUSINESS] 2 sources
    Namibia private sector credit growth slows due to corporate sector

    Namibia's private sector credit growth slowed to 4.2% in July as corporate borrowing declined, despite a marginal increase in household credit and mortgage uptake.

  2. about 1 month ago

    [BUSINESS] 2 sources
    Bank of Namibia holds repo rate at 6.75% amid lowered growth outlook

    The Bank of Namibia held its repo rate at 6.75% and lowered its 2026 growth forecast to 2.1% due to weak activity in mining and manufacturing.

Sources

economist.com.na · observer24.com.na