IMELDA AMBONDO
Namibia is preparing to roll out a national instant payment system between April and May, allowing citizens to make real-time payments without cash or cards.
The move is aimed at promoting financial inclusion and reducing reliance on traditional banking services. Bank of Namibia (BoN) governor Ebson Uanguta confirmed the development in an interview with Namibia Business Review last week.
“Likely this year now, maybe around April or May, we are likely to launch an instant payment solution, starting with a government-to-person use case and then also add other use cases,” Uanguta said.
Instant payments allow funds to move from a payer’s account to a payee’s account in real time, typically within 10 seconds. Unlike traditional bank transfers that process payments in batches over one to three business days, instant payments operate 24/7, including nights, weekends, and holidays.
“The issue of financial inclusion is very critical, and it is very close to our mandate. We have already started an initiative for an instant payment solution. The reason we, as a central bank, developed it is purely for inclusion,” Uanguta said.
Bank of Namibia said the system will reduce the need for Namibians to carry large amounts of cash or rely on bank accounts, credit, or debit cards for transactions. Similar models are already in use in countries such as Kenya and Zimbabwe, where citizens can transact directly from their cellphones using platforms like M-Pesa and EcoCash.
The central bank’s push for instant payments comes as 22% of Namibia’s population remains unbanked. While more Namibians now use bank accounts and digital payments, a significant portion still lacks access to formal financial services, highlighting ongoing gaps and risks.
Last year, finance minister Ericah Shafudah told The Namibian that financial inclusion can be catalytic in reducing inequality. Speaking at the 2025 Alliance for Financial Inclusion Global Policy Forum, she revealed that the proportion of Namibians with access to a bank account has risen from 51% to 78% over the past decade.
She also noted that Namibia remains one of the most unequal countries in the world, with a Gini coefficient of 59.1.
“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,” Shafudah said.
BANKS ON BOARD
Uanguta said all commercial banks and e-money providers have committed to participating in the initiative.
“All commercial banks will be part of this. All other entities involved in e-money will also take part. The instant payment solution will create opportunities for digital money. Currently, when sending e-money to another person, you are expected to go to an ATM to withdraw it,” he said.
He added: “When the instant payment system is launched, you won’t need to withdraw money. You can keep your funds digitally and spend them at any shop. There will be full interoperability between all banking institutions.”
According to Uanguta, the system will improve access to financial services, even for those without bank accounts.
“That is part of the inclusion we want. You don’t necessarily need a banking account—you just need a cellphone, a number, register on the platform, and you can buy and trade,” he said.
PRIORITIES OF THE NEW GOVERNOR
Uanguta, who was appointed the seventh governor of BoN on 1 January 2026, said modernising the central bank is among his top priorities.
“I have indicated that leadership is always in transition, but mandates remain. Part of my priority will be fully aligned with the mandate of the central bank,” he said.
He added: “It will not be just what I personally intended to do. The key question when assuming leadership is: what ought to be done at a time like this? For me, it is making sure that the central bank, in five, 10, or 20 years, becomes modernised and able to respond to changes in the economy.”
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