Anticipated Projections for the 2024/25 Budget

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Minister of Finance Iipumbu Shiimi is gearing up to present the 2024/25 budget this month, marking a crucial opportunity for the government to outline a roadmap for sustained growth and equality in Namibia.

The upcoming budget must prioritize safeguarding and revitalizing the lives and livelihoods of Namibians, bolstering economic resilience, and instigating socio-economic reforms. Anticipated policy shifts should emphasize youth empowerment, essential services, agriculture, and tax restructuring to tackle unemployment effectively.

Foremost, allocations for human capital development covering education, health, and green hydrogen technologies are expected to dominate, followed by investments in security, integrated transport infrastructure, services, and agriculture. Despite the decreasing share of agriculture in GDP, its critical importance in economic development necessitates adequate budgetary allocations to bolster production and ensure food security.

A comprehensive rural development strategy, focusing on large modern farms and family farming, should be a priority. Regulatory reforms aimed at attracting private investment, enhancing financial access, and promoting sustainable agricultural practices are essential to increase productivity sustainably and improve rural living standards.

Youth empowerment initiatives are imperative to equip young Namibians with the requisite skills and mindset for economic participation. National action plans targeting youth employment, including enterprise incubation programs and infrastructure projects, should be established to harness the potential of Namibia’s youth population.

The budget should also address opportunities and challenges presented by green hydrogen and oil discoveries. Increased investment in these sectors can stimulate economic development and job creation, facilitated by government support and institutional capacity-building efforts.

Tax reform is another crucial area requiring attention, with potential reforms to eliminate double taxation on business profits and dividends. Additionally, revisiting pension payout tax percentages could enhance fiscal resilience and promote investment.

Service delivery across all sectors is paramount to ensure equitable access to essential services and foster economic growth. The budget should prioritize sustainable development, export promotion, and green economy initiatives while embracing digital transformation to drive efficiency and innovation.

Overall, the 2024/25 budget is anticipated to address pressing socio-economic issues, propel economic growth, and advance the government’s commitment to improving the quality of life for all Namibians.