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Namibia has recorded a remarkable surge in foreign direct investment (FDI), attracting N$114.9 billion over the past four years, according to figures released by the Namibia Investment Promotion and Development Board (NIPDB). This marks one of the country’s most significant FDI performances in recent history, driven largely by investments in oil and gas, green hydrogen, and strategic acquisitions.
Between 2021 and 2023, Namibia drew in N$73 billion in FDI, with the oil and gas sector alone accounting for N$33.4 billion, representing 45% of the total during that period. This uptick follows the 2022 discovery of major oil reserves in the Orange Basin, which has catapulted Namibia into the ranks of Africa’s most promising energy frontiers. The developments have attracted global energy giants and positioned the country among the world’s top 15 oil-rich nations.
Diversified Investment Sources
While the oil and gas sector has dominated investment inflows, Namibia has also made significant strides in other areas. The country’s ambitious green hydrogen strategy has drawn considerable international interest, in line with global transitions towards sustainable energy solutions. Additionally, the acquisition of Namibia Breweries Limited by Heineken has bolstered confidence in the country’s broader economic prospects.
The mining sector remains a core component of Namibia’s FDI portfolio, particularly in diamonds and uranium, while investment in manufacturing and infrastructure continues to grow steadily.
Economic Impact and Job Creation
The influx of foreign investment has contributed positively to economic development and employment. The number of people employed by FDI-related enterprises rose from 55,982 in 2019 to 62,817 in 2023, creating nearly 6,900 new jobs over five years. The trend reflects growing investor confidence and Namibia’s potential to deliver returns across multiple sectors.
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Strong Investment Climate
Namibia’s stable political environment, strategic geographical location, and abundant natural resources have made it an increasingly attractive investment destination. Government reforms aimed at enhancing the ease of doing business and promoting private sector growth have further strengthened the country’s appeal.
Looking ahead, the NIPDB has expressed optimism that Namibia will continue to consolidate its position as one of Africa’s leading FDI destinations, especially as infrastructure around oil and gas and green energy projects advances.
