The National Youth Development Fund (NYDF), which aims to support youth entrepreneurship by providing financial assistance without requiring collateral, targets young Namibians aged 18 to 45.
The Fund, introduced by the Ministry of Finance, has approved the expansion of youth business financing through the Development Bank of Namibia (DBN), with approvals totaling approximately N$15 million.
This marks the third project approval under the NYDF.
According to a statement from the Ministry’s spokesperson, Wilson Shikoto, funding approvals totaling N$8.6 million were granted through the Development Bank of Namibia to 30 youth-owned enterprises from 1 November 2025 to 30 January 2026.
“The National Youth Development Fund continues to expand access to finance for youth-owned enterprises across Namibia through its partnership with Development Finance Institutions,” Shikoto said.
He added that this follows an earlier approval of N$5.3 million for 16 youth-owned enterprises, which was announced at the official launch of the NYDF.
In total, 46 youth-owned enterprises have now been approved for funding through DBN, with a combined approval value of about N$15 million.
Shikoto said DBN is currently finalising disbursements for several approved enterprises and assessing approximately 40 additional applications. Further approvals and an update on disbursements are expected by the end of February 2026.
The NYDF funding window remains open, with project approvals made on a continuous basis as applications are received and meet the funding requirements.
Eligible applicants may submit applications through the offices of the regional governors or directly to participating Development Finance Institutions, namely the Development Bank of Namibia, Agribank, and the Environmental Investment Fund.
“The NYDF remains committed to supporting viable youth-owned enterprises and strengthening their contribution to economic growth and employment creation,” Shikoto said.
The National Youth Development Fund was introduced in September last year to reduce youth unemployment by creating sustainable economic opportunities.
The Fund is designed to remove barriers to youth entrepreneurship by requiring no collateral to access funding.
This approach ensures that all eligible Namibian youth, regardless of background or financial status, have a fair opportunity to bring their entrepreneurial visions to life.
Under the Fund, start-up initiatives receive financing ranging from N$60 000 to N$200 000 at an interest rate of 2% per annum, while entrepreneurial or project initiatives are funded between N$200,000 and N$1 million at an interest rate of 3% per annum.
Large-scale initiatives exceeding N$1 million attract a 4% annual interest rate. Additional terms include a repayment period of up to five years, a grace period of up to 12 months, and collateral-free financing.
The NYDF prioritises sectors such as agriculture and agro-processing to promote food security and rural development; green and eco-friendly projects, including recycling, clean energy, and sustainable innovation; and manufacturing and value addition to build local capacity and reduce import dependency.
Other funded sectors include creative industries such as fashion, entertainment, film, and crafts; ICT and technological innovation; sustainable tourism and hospitality; service industries including logistics and mechanics, retail, and beauty and hair salons.
Projects that fall outside the Fund’s priority or specialised sectors may still qualify for funding based on their viability, innovation and potential to create youth employment or socio-economic value.
The funding process includes calls for applications on an open or rolling basis during the programme period; submission of business proposals; evaluation and vetting; disbursement of funds in the form of loans or grants; and ongoing support and monitoring.
-pmukokobi@nepc.com.na