Namibia ranks 14th in Africa investment report

CHAMWE KAIRA

Namibia is ranked 14th in the 2026/27 report, while its personal freedom score is second among the 31 markets assessed, according to the RMB Where to Invest in Africa report.

The report identifies stable democratic institutions, low perceived corruption and strong personal freedom as factors supporting Namibia’s investment resilience, while import dependence and deep income inequality remain key constraints.

It says Namibia’s investment prospects will depend on its ability to commercialise offshore hydrocarbon discoveries and use any resulting economic benefits to diversify its production base, broaden government revenue and support wider social development.

“Namibia has steadily gained ground because its investment case rests on stable democracy, low perceived corruption and strong personal freedom. These foundations support a relatively strong resilience profile, although the country’s dependence on imports remains an important source of vulnerability,” said Isaah Mhlanga, chief economist at RMB.

The report compares 31 African markets across the 2024/25, 2025/26 and 2026/27 reporting periods. It identifies governance, market efficiency and environmental management as factors distinguishing Namibia’s investment profile.

Namibia’s production and export base remains concentrated in diamonds and uranium.

Offshore hydrocarbon discoveries in the Orange Basin present a potential source of new investment and economic activity, although the report cautions that discoveries do not guarantee commercial production, revenue or economic growth.

“The offshore discoveries create potential for Namibia to broaden an economy still anchored by diamonds and uranium. What matters now is commercialisation and whether that opportunity can support a wider and more durable economic base,” Mhlanga said.

The report’s Resilience and Vulnerability Matrix assesses the institutional and policy strengths that help economies absorb shocks, alongside structural weaknesses that expose them to economic disruptions.

For Namibia, governance, market efficiency and environmental management support resilience.

However, the country’s reliance on diamond and uranium exports, combined with its dependence on imports for much of its consumption, leaves it exposed to external shocks.

The report identifies reducing strategic import dependence as Namibia’s greatest potential area for lowering vulnerability.

Namibia’s resource prospects therefore need to be considered alongside the structural challenges facing its economy.

While strong institutions provide a foundation for investment, they do not eliminate the risks associated with a concentrated export base, import dependence and inequality.

“A ranking is a snapshot, not a guarantee of investment performance. Namibia’s resilience matters, but the country remains exposed through concentrated exports and reliance on imports,” Mhlanga said.

The report concludes that Namibia’s ability to turn its offshore resource potential into a broader economic opportunity will depend on whether discoveries advance to commercially viable development and whether the resulting benefits extend beyond the extractive sector.

Successful commercialisation could diversify the country’s revenue base and strengthen economic capacity, but the scale and reach of those benefits will depend on how the opportunity is developed and managed.