The non-banking financial institutions (NBFI) sector continued to grow in the third quarter of 2025, supported by positive financial market conditions.
According to the third quarter report released by the Namibia Financial Institutions Supervisory Authority (NAMFISA), chief executive officer Kenneth Matomola, the sector’s total assets rose to N$528.2 billion as of 30 September 2025. This represents growth of 5.3% from the previous quarter and 14.8% compared to the same period last year.
“Pension funds, long-term insurers and collective investment schemes remained the biggest players in the sector. Together, they accounted for more than 91 percent of total assets. By the end of the quarter, the NBFI sector had 1,142 active entities and 15,406 registered intermediaries,” he said.
In the report Matomola said, the long-term insurance industry recorded assets of N$93.1 billion, growing by 4.6% quarter-on-quarter and 12.9 percent year-on-year. This growth was mainly driven by good performance in both current and long-term investments. The industry had 15 active entities and 12,089 registered intermediaries.
“Short-term insurance assets increased to N$10.1 billion, showing quarterly growth of 4.3% and annual growth of 10.5%. The increase was supported by higher cash holdings and growth in insurance business activities. The sector had 13 active entities and 3,317 intermediaries. While the solvency ratio declined slightly to 1.37 times, the liquidity ratio remained strong at 9.6 times,” he said.
Medical aid funds recorded a net surplus of N$129.5 million during the quarter. Assets were enough to cover all liabilities, and reserve levels exceeded the minimum requirement. Membership grew to 223,961 beneficiaries, with the biggest increase seen among pensioners. The industry had eight registered entities.
“The retirement funds industry continued to expand, with total investment assets rising to N$288.6 billion. This reflects growth of 5.3% quarter-on-quarter and 12.6% year-on-year. The sector consisted of 69 registered funds with a total membership of 428,014. Assets managed by linked investment service providers increased to N$22.4 billion, growing by 7.3% over the quarter and 24.6% over the year. The growth was driven by interest income, dividends and new clients. Four entities were active in this segment,” he said.
The microlending industry’s total loan book stood at N$7.8 billion. This showed a slight quarterly decline of 0.1%, but a yearly increase of 7.2%. Term lenders made up most of the loan book, while 910 microlenders were active during the quarter.
NAMFISA also recorded 98 complaints during the quarter. This was lower than the previous quarter but higher than last year. Most complaints were resolved, with over 95% handled within the required time. Short-term insurance accounted for the largest share of complaints.