Ministers butt heads over acting Nida CEO

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Ministers butt heads over acting Nida CEO

Two Cabinet ministers are on a warpath over the recruitment of the Namibia Industrial Development Agency’s interim chief executive officer. 

One minister opted for the current acting CEO Phillip Namundjebo to retain the post, while the other endorsed the secondment of the Namibia Investment Promotion and Development Board’s (NIPDB) chief operating officer Richwell Lukonga to the position, also in an  acting capacity.  

On 16 February, trade minister Lucia Iipumbu rejected Lukonga’s secondment. 

She had reasons to justify her position.  She said Lukonga could not be appointed into a position in an acting capacity while someone was already acting in that role. 

Iipumbu’s position is that Namundjebo be allowed to see through the recruitment process of the substantive Nida CEO. 

The information is contained
in a letter to Nida board chairperson Sebby Kankondi.

Iipumbu was responding to Kankondi’s email to Shiimi of 15 February 2024, wherein she was copied. 

“The Ministry of Industrialisation and Trade (MIT) appreciates the information as provided. We wish to advise that the current acting CEO [Namundjebo] must continue, while fast-tracking the recruitment process of the substantive [CEO] of Nida,” Iipumbu advised.

She said while the proposed secondment may seem noble, there could be more than meets the eye. “It presents a high risk of culminating in creating expectations [of employment] at the time of filling the position, including the potential of creating an unharmonious work environment on the part of the current acting arrangement in place,” Iipumbu warned.

“It is against the above that MIT wishes to reiterate our position for the current CEO to continue until the position for the CEO at Nida is filled,” she reiterated.

However, three days later, Shiimi would rubberstamp Lukonga’s secondment.

Shiimi is alive to Iipumbu’s opposition to such an arrangement, but still went ahead anyway. “We acknowledge receipt of your letter, dated 15 February 2024, regarding a request for approval to have Mr Lukonga seconded from NIPDB to Nida for a period of 12 months, whilst the recruitment process for the new substantive CEO for the agency is in progress. The approval is hereby granted,” Shiimi stated briefly in his missive dated 19 February 2024.

His letter does not indicate when Lukonga is expected to commence his new role, nor does it say when Namundjebo should vacate the role.

Yesterday, Shiimi was not available to comment on why he disregarded his fellow Cabinet colleague’s advice.

Meanwhile, Iipumbu redirected all queries to Shiimi. “The matter will be discussed by the ministers and the board to map the way forward,” was all finance spokesperson Wilson Shikoto could say yesterday, after consulting Shiimi. Efforts
by New Era to get hold of Kankondi yesterday were futile, as his phone went unanswered. On his part, Lukonga was in the dark about his secondment.  “I am not aware of that,” he said yesterday.  Namundjebo was unavailable. 

However, internal sources indicate tension is already simmering in the
Nida corridors over the move, with Namundjebo still in charge of the institution. According to people familiar with developments at Nida, there are ulterior motives behind the secondment, with the future survival of NIPDB now allegedly hanging in the balance.

 

Pipeline

While naysayers have perennially cast aspersions over NIPDB’s relevance and existence, the entity has maintained it is a force to be reckoned with.

Last week, NIPDB CEO Nangula Uaandja said Namibia had attracted significant investments. She announced that Namibia has acquired around N$179 billion in prospective investment possibilities, which have the potential to create employment.

“We emphasise potential because of an accepted risk that some investment projects may not realise due to various factors. The investment pipeline is divided into four segments, namely leads, final investment decision, capital deployed and finally, the operations of businesses,” she told New Era recently.

She added that the good news is that N$7.2 billion is already in operation, while N$25.5 billion refers to projects for which funding has been invested. The data is from projects registered with NIPDB, which represents a subset of the country’s total projects.

 

Troubled Nida

However, controversy at Nida is not new.

Last October, the agency parted ways with its CEO Mihe Gaomab II after agreeing to a N$600 000 golden handshake.  

At the time of the termination, he was on suspension for alleged poor performance after his probation was extended three times.

At the heart of the Nida board’s displeasure was Gaomab’s alleged failure to develop an integrated business plan, and ensure it was ready for approval. He was also tasked with securing a N$100 million loan, for which the government was to provide a guarantee.

Gaomab was likewise accused of failing to properly transfer assets and staff of the Namibia Development Corporation and the Offshore Development Company to Nida. Both entities were incorporated into Nida after Cabinet approved the merger in 2015. –  emumbuu@nepc.com.na