STAFF WRITER
Minister of the Finance Erica Shafudha says Namibia has been struggling with inequality caused by historical imbalances for the past three decades.
“While Namibia is home to some of the world’s most incredible landscapes and exhilarating beauty, it is also home to some of the world’s highest income inequality, beaten only by our neighbour, South Africa; with which we share common history, particularly as it pertains to deliberate policies of exclusion,” Shafudha told more 800 delegates including 80 central bank governors attending the Alliance for Financial Inclusion Global Policy Forum in Swakopmund on Thursday
She added that, “ The remnants of these divisive historical policies continue to linger even after 3 and a half decades of our independence. These poignant effects manifest in many socioeconomic indicators including poverty, access to basic services, including financial services.
Shafudha said Namibia continues to formulate policies that deal with inequality.
“ As a country that has shown astounding fortitude and resilience in the face of deep socioeconomic challenges, we have not folded our arms in resignation, we have and continue to consciously shape our policies and engineer our programs to deliver the tangible and shared prosperity our people have for so long yearned,” she said.
We continue to
She said Namibia has taken a decision to tackle policies that were created in the past to sideline certain quarters in society and create a more equal access to resources and opportunities.
“We acknowledge that, to reverse the repercussions of past policies and missteps, we need deliberate policies to catalyse and shape that inevitable change. True financial inclusion extends far beyond access to a bank account for us, it is about granting economic agency to empower our citizens to save securely, invest wisely, build resilience against shocks, and actively contribute to our national development,” she said.
She said the latest FinScope Consumer Survey of 2023 shows that 78 % of Namibian adults now have access to formal or informal financial services.
This indicates an improvement from 51% a decade
earlier.
Shafudha said the youth unemployment rate in Namibia stands at a staggering 44.5 %.
“This rate has been a pain point for the Government as it implies further exclusion and inequality, with the potential to further forestall and even reverse some of the progress made, albeit marginal, in pursuit of reducing financial exclusion, inequality and general poverty among our people. The Government has been exploring various measures to deal with this challenge facing the largest and arguably the most critical segment of our demography, the youth,” she said
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