A much-talked-about N$37 billion smart rail project proposed for northern Namibia remains in the early stages of consideration, with no investment formally secured yet, and no tenders awarded.
The Namibia Investment Promotion and Development Board (NIPDB) has clarified its position on the project, emphasising that while it supports and facilitates potential investments, it does not have the authority to approve or commit to any specific deal.
This comes in the wake of public interest and speculation following the circulation of a local news article that erroneously stated that Afrail Inc had secured approval from NIPDB to develop a multi-billion urban rail transit system in northern Namibia. NIPDB has vehemently denied the report.
“The NIPBD does not have the power to approve projects or sign deals with any project owners. Our involvement is limited to providing support services to ensure that viable projects are realised within a reasonable period of time,” said NIPDB marketing, branding and communication officer Cathrine Shipushu.
She said NIPDB facilitates government meetings, assists with permits, and helps with business registration, but not approving tenders.
“Before committing resources to any project, our team conducts extensive due diligence on the company and the project itself to determine its viability, economic impact and potential to create quality jobs,” Shipushu stated.
Moreover, no tender process has been launched for the proposed smart rail initiative. The NIPDB reiterated that it does not have the mandate to issue or award tenders, which is a function typically reserved for designated government departments or public procurement entities.
Asked whether similar investments were being considered for high-traffic corridors such as the Windhoek-Okahandja and Windhoek-Rehoboth routes, the NIPDB did not confirm any specific projects. However, it noted that it remains open to facilitating investments in all regions where such infrastructure would yield economic returns.
“The NIPDB remains committed to supporting the government’s efforts to drive economic growth by facilitating investment in order to tackle the country’s multifaceted challenges, including the triple threat of high levels of unemployment, poverty and inequality,” she stated.
Shipushu said the proposed smart rail project would be transformative for northern Namibia, a region often cited for its economic potential, but hindered by infrastructural limitations. The northern regions are a connection point between Angola and Namibia, and could serve as a logistical hub for regional trade.