STAFF WRITER
NAMIBIA is pushing towards a 51% state ownership stake in all new mining ventures in a bid to improve local beneficiation and participation in its natural resources, Deputy Prime Minister and Minister of Industries and Mines Nangue Ithete has said.
Addressing captains of industry from the extractive sector at the launch of the mining expo on Tuesday, Ithete said the government has started consultations on the possibility of the state owning 51% in all new mining ventures.
He said while the country has been independent for 35 years, there is no better time than now to start the conversation on increased state ownership in the country’s extractive sector, which contributes close to 15% of the Gross Domestic Product (GDP).
“We have been independent for 35 years and the question is ‘should we have started this conversation at independence?’ ‘Should we have started it 20 years ago?’ ‘Or should we start it now?’ The answer is that this is a conversation that we need to have to make sure that Namibians benefit from their natural resources,” he said.
Ithete said the consultations are deeply embedded in communities where the mining activities are taking place and will be carried out in an inclusive and participatory manner.
According to Ithete, the idea of increased state ownership in new mining ventures is a matter of time.
Ithete also fired potshots to investors (both local and international) who are holding on to Exclusive Prospecting Licences without making decent efforts to develop them into fully fledged ventures.
“We have opened engagements with those who are holding on to mining rights without using them,” he said.
Speaking at the same event, Chamber of Mines Namibia President George Botshiwe said the industry continues to play a significant role in creating jobs and contributing to economic growth.
“We are very proud this year to welcome 21 countries from the southern African region and four others from elsewhere. This diverse representation underscores the growth and importance of the mining industry,” he said.
Botshiwe said the mining industry has continued to encourage participation by individuals to allow everyone access.
Deputy head of the Upstream Petroleum Unit in the Office of the President Carlos McLeod said the Namibian mining industry continues to show resilience and growth despite facing global market headwinds.
“Despite significant global headwinds and a contraction of 1.2% in 2024, the mining sector remains the bedrock of the Namibian economy. The industry generated N$52.3 billion in revenue, contributed 13.3% to our GDP, and created over 2 600 new jobs, bringing total direct employment to 20 843, a 14.6% increase from the previous year,” he said.
McLeod added that, “In 2024, mining companies spent N$23.94 billion on goods and services from Namibian businesses, representing 46.2% of the industry’s total revenue and 62% of total procurement. This level of local procurement is a powerful driver of inclusive economic
growth, supporting thousands of Namibian-owned enterprises across the country.”
He said the sector also contributed N$5.62 billion to the national fiscus through taxes, royalties, and levies, despite a decline from the previous year due to weaker diamond revenues.
“These achievements are not just numbers. They represent livelihoods, opportunities and the growing confidence in Namibia as a stable and attractive mining destination. They also reflect the sector’s alignment with our broader national goals, particularly NDP6, which prioritizes industrialisation, inclusivity, and sustainable economic growth,” he said.
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