Prime Minister Saara Kuugongelwa-Amadhila believes the declining coronavirus cases and easing of restrictions are providing the most hope for economic recovery.
“We have experienced a significant drop in the number of infections, hospitalisations and deaths. That in itself has a significant impact on a reduction on health expenditure by the government through medical aid funds and families’ private costs,” she said during last week’s Covid-19 briefing at State House.
In June, the country battled a devasting Covid-19 third wave, which led to a record number of hospitalisations and deaths. The pandemic has also taken a toll on the local economy while negatively impacting investment, productivity and growth.
Kuugongelwa-Amadhila noted that a number of sectors and sub-sectors are showing upward trends in terms of performance, which speaks well for economic recovery, although some industries still continue to register negative growth.
“These measures, even though they may have immediate negative impacts in terms of business returns and restrictions to individual movements, the overall picture shows they augur well for the economy,” she added.
The prime minister stated that specific impacts of the Covid-19 pandemic in the long term would be visible as the government proceeds to implement measures that are agreed upon to ensure flexibility given to communities and businesses to engage in productive activities that should impact positively on the economy.
Furthermore, there is N$500 million provided by the Bank of Namibia for lending through private banks to businesses to encourage them to invest as a way to support economic recovery. “We are embarking on a multiple range of initiatives that would support not only economic recovery, but also the social welfare of the community,” she said. –mndjavera@nepc.com.na