TIRI MASAWI
Minister of Finance, Ericah Shafudah announced an operational budget of N$81.3 billion for the financial year 2026/27 with social sectors of health and education taking the lion’s share of the country’s expenditure.
The announced expenditure represents an increase of N$746 million from the N$80.6 billion in the financial year 2025/26.
The national budget also indicates an estimated revenue of N$89,8 billion in the same year.
A further breakdown shows that education, health, social safety nets, and youth empowerment, remains the largest area of government spending , taking N$54.3 billion,
This means the sectors accounted for 61.7% of the total budget, excluding Interest payments.
This means the revenue has increased by 2.5% from N$ 87.4 billion for the year 2025/26.
Shafudah said the development budget for the financial 2026/27 financial year is set at N$6.5 billion for the state-funded developmental projects.
“ It is worth noting that this budget is also expected to receive N$4 billion in grant- and loan-funded projects to improve infrastructure across various ministries,” she said.
She added that,, “For the following two fiscal years, 2027/28 and 2028/29, the ceilings are set at N$7 billion and N$7.7 billion, respectively,” she said.
The minister attributed the increase in revenue from the increase in Southern African Customs Union( SACU) receipts.
SACU is expected to contribute N$24.3 billion, up from the N$21.8 billion in 2025/26.
“Despite the overarching objective of expenditure rationalisation, the budget remains cognizant of essential social and developmental commitments. For the financial year 2026/27, the key priorities underscoring the operational budget are estimated to be around N$5.9 billion to cover additional funding to support the government’s obligations to subsidise tertiary education to the tune of N$2.8 billion.
The minister also allocated a budget of N$1.7 billion for the fiscal year 2026/27 to enhance the salary structure for civil servants .
“An allocation of N$78 million is earmarked to address a shortfall in personnel for Judges and Magistrates, recruitment of Health Professionals is budgeted an amount of N$259 million, ensuring that fiscal prudence does not compromise the delivery of vital public services and an amount of N$108 million is budgeted for the recruitment of the National Correctional Service,” Shafudah said.
KEY ALLOCATIONS
Shafudah said N$28 billion has been earmarked for the Education, Innovation, Arts and Culture sectors.
This includes N$2.8 billion is designated for subsidised tertiary education and for alleviating school congestion.
The government also allocated N$939 million for developmental projects.
Sports, Youth and National Services will receive N$750 million in the fiscal year 2026/27. Over the Medium-Term Expenditure Framework (MTEF) period, a total of N$83.6 billion has been allocated.
The Ministry of Health and Social Services has been allocated a total of N$13.1 billion for the year 2026/27 and N$38. 5 billion over the MTEF including N$259 million for the recruitment of health professionals.
The Ministry of Veteran Affairs received N$1.5 billion in FY2026/27, and a total of N$ 4.6 billion over the MTEF.
Transport will receive a total budget of N$2,1 billion towards road infrastructure funded from the state revenue fund.
Works will receive N$593 million for 2026/27, and N$2.1 million over the MTEF.
The Ministry of Information and Communications Technology will receive N$682 million for 2026/27.
The Ministry of Finance received a N$12.9 billion allocation for 2026/27.
Industries, Mines and Energy is allocated a total of N$826.7 million for 2026/27.
Environment, Forestry and Tourism is allocated a total of N$736.8 million for t2026/27.
The National Planning Commission will receive N$283 million for 2026/27, and N$852 million over MTEF.
Agriculture and Land Reform will receive N$1.8 billion and N$5.5 billion over the MTEF
Water and Marine Resources will receive N$1.0 billion in 2026/2.
Safety and Security sector receives the second largest allocation of N$17.0 billion,
Defence is allocated N$7.5 billion for 2026/27.
Justice will receive N$460.8 million for 2026/27 and N$1.3 billion over the MTEF .
Judiciary will receive N$512 million for 2026/27
The Anti-Corruption Commission will receive a total allocation of N$109 million for 2026/27 AND N$310 million over the MTEF period.
The Attorney General will receive a total of N$267 million for FY2026/27, and N$814 million over the MTEF.
A total of N$8.1 billion was allocated to the Ministry of Home Affairs, Immigration, Safety and Security for 2026/27 and N$25 billion over the MTEF period.
The Ministry of Rural and Urban Development has been allocated a total of N$1.9 billion for 2026/27.
Prime Minister will receive N$535 million for 2026/27 and N$1.5 billion over the MTEF
The National Assembly will receive N$416 million and N$1.2 billion over the MTEF.
Auditor General will receive N$133 million for the FY2026/27 and N$406 million over the MTEF
International Relations and Trade N$1.4 billion for FY2026/27 and N$4.3 billion over the MTEF.
National Council will receive N$134 million for the FY2026/27 and N$409 million over the MTEF
Labour and Industrial Relations will receive N$231 for the FY2026/27 and N$705 million over the MTEF
The Electoral Commission of Namibia will receive N$181 million for 2026/27 and N$553 million over the MTEF.
COMMENTS