BMI View: Namibia is one of the more attractive destinations in the African region from an investmentstandpoint due to its solid infrastructure, openness to trade and strong legal framework. However, its vastlydispersed and poorly educated labour force, high levels of red tape and underdeveloped financial marketsconstrain growth. The country has substantial unexploited diamond and uranium deposits and we expectproduction to grow rapidly as a series of high-profile projects come online. The country is tipped to becomethe world's third-largest uranium producer by the end of the forecast period.
Latest Forecasts And Developments
Namibia is still in the process of finalising the details of the New Equitable Economic EmpowermentFramework (NEEEF) which will be made into law. The empowerment component of the frameworkstipulates that businesses must accommodate 25.0% shareholding to racially disadvantaged individuals.
While the NEEEF will likely see push back from the private sector in the months ahead, uncertaintysurrounding it will negatively affect foreign investor sentiment around the country's mining sector.