STAFF REPORTER
Letshego Bank Namibia has recorded a sharp rise in its affordable housing loan portfolio, growing from N$23 million in December 2023 to N$160 million by the end of 2024, enabling 200 Namibian families to become homeowners.
Letshego chief executive officer Ester Kali attributes the growth to sustained demand: “There is consistent interest from the public. We introduced this offering to help address Namibia’s critical housing shortage, and it continues to gain momentum.”
The housing push forms part of Letshego’s wider strategy to expand and diversify. Since acquiring a full banking licence in 2016, the bank has transitioned into a full-fledged commercial institution, with 16 branches nationwide, six full-service branches and 10 agencies.
Kali further highlighted Letshego’s focus on strengthening its savings and investment products as part of its long-term funding approach.
“Customers have access to term and flexible savings accounts, as well as LetsGo transactional accounts, which offer convenience via ATMs, POS devices, Wi-codes, and the bank’s mobile banking app,” she said.
Letshego’s loan portfolio also aims to help reduce Namibia’s housing backlog, which currently stands at 300 000 units.
According to the Namibia Housing Enterprise (NHE), the organisation is struggling to address the massive housing backlog and has built only 21 545 units since its establishment in 1993.
According to NHE chief executive officer Gisbertus Mukulu, over 120 000 applicants have been on their waiting list since 2005, with significant demand in regions like Khomas (33 000), Erongo (35 000), and the northern regions (22 000).
Mukulu attributes the slow progress to several factors, including the scarcity and high cost of developed building plots, the creditworthiness of potential clients, increased construction material costs and limited financing.
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