The growth of Namibia’s domestic economy is anchored by upbeat activity in the natural resources sector, particularly mining. A look back at the economic stories of 2025 began with a radical policy shift aimed at addressing long-standing social constraints, including high levels of poverty and unemployment.
Undeniably, Namibia has one of the highest levels of income inequality in the world, and youth unemployment stood at 37.3% in 2024. As part of its Vision 2030 and under the current National Development Plan Six (NDP6), the government focuses on promoting industrialisation, economic diversification, health and education, job creation, and social equality.
As Namibia expects investment inflows into the country across numerous growing industries – including renewable energy and green hydrogen, agriculture, mining, and, more recently, petroleum – the underground voice of mine workers should never be ignored.
As set out in the laws that regulate mining, the sector is governed primarily by the Minerals (Prospecting and Mining) Act of 1992; (later the Act was amended by the Minerals (Prospecting and Mining) Amendment Act, 2008 (Act No. 8 of 2008)]; Environmental Management Act, 2007 (Act No. 7 of 2007); Labour Act, 2007 (Act No. 11 of 2007); Works and Minerals Ordinance 20 of 1968 (the “Ordinance”).
Together, these laws are vital, creating a cohesive framework for regulating the mining industry, attracting investors, empowering workers, balancing resource utilisation with environmental considerations, and ensuring economic policy alignment in Namibia.
Besides the regulatory framework, the Namibian policy’s stance is clear: to ensure mineral beneficiation through partnering with Namibian companies and persons, as well as to procure goods and services locally and hire Namibian employees; local ownership policies requiring a minimum of 15% Namibian ownership in new mining projects; and to enhance local value addition across the mining sector.
These approaches are intended to improve the sustainability of the extractive industry and ensure that the country derives maximum economic benefit from its natural resources.
While not mandatory, mining companies operating in Namibia should be encouraged to align their operations with national objectives.
This alignment not only supports the country’s economic goals but also enhances the sustainability and social responsibility of mining operations.
Although the national framework is effective at promoting economic stability and attracting investors, the world is shifting towards technological advancement and robotics.
It remains a euphemism if social safety and best labour practices that protect workers and not jobs are to be preserved. This is because at the heart of the global trends of leading mining companies, governance, and business is the quality of people.
Despite our policy on local content, globalisation has created fierce competition for talent, forcing companies and governments to recognise that people are their most valuable assets. Nurturing, upgrading, and retaining domestic skills are necessary conditions for growth, but not sufficient.
In order to achieve advanced economy status and get out of the middle-income trap, Namibia must have the skills needed to fill gaps and enhance the country’s comparative advantage in its demographic dividends.
Relatively, report by Forbes Global 2000 list, countries with companies that leading in mining such as [BHP – Australia, Rio Tinto – UK, Vale – Brazil, Zijin Mining – China, and Newmont – US] have indicated that in order to compete and sustain themselves, their labour forces must be flexible, adaptive and competitive on the global, regional and national levels.
Creative destruction occurs not only in mining companies and industries with outdated machinery and equipment, but also in human skills.
Therefore, the private sector, society, and governments in Namibia play a pivotal role in facilitating an orderly transition, expanding health insurance coverage, and protecting the minimum wage; otherwise, workers will face disruption and exploitation.
Jobs and workers must be matched efficiently through adaptation and transition to increase productivity and, in turn, raise wages for all.
Within the mining context, we can no longer rely on our wealth from natural resources alone to mask our economy’s weaknesses. Advancing sustainable economic growth in 2026 requires commitment beyond silver and gold.
Empowering a high-quality workforce, reducing dependence on foreign labour, creating a competitive economy, ensuring transparent, market-friendly affirmative action, and implementing policy measures and oversight are needed. Support from stakeholders who inspire, rather than conspire, the workforce and labour practices can power this profound transformation.
Certainty on the fiscal regime, SEZ incentives, and best practices that encourage mine workers to live and contribute to Namibia’s GDP will also attract reputable investors to establish new businesses and opportunities, ultimately enriching the environment in which a sustainable economy grows.
Lastly, the Namibian Mineworkers’ Union welcomes the recent appointment of the Minister of Mines, Energy, and Industry, Modestus Amutse, and wishes him success in his new role. MUN has no doubt that he will perform his duties to the best of his abilities, and MUN stands ready to work closely with him to ensure that, first and foremost, natural resources benefit Namibian people equitably.
*Shavuka Mbidhi is the Vice President of Mineworker’s Union of Namibia (MUN)

