Namibia has a population of just 3.1 million people, but it also has one of the most stable economies in Africa. Most of the population are centred in a few urban areas, the biggest of which is Windhoek which is also the capital of the country.
Economic Growth
According to the World Bank, Namibia is resource rich, has strong governance and institutions, and has sound macroeconomic management that have helped poverty reduction and allowed Namibia to become an upper-middle-income country.
Economic growth was 4.4% in 2023 but was moderated to an estimated 3.7% in 2024 due to a decline in mining activities and severe drought. Growth is projected to increase to 3.9% in 2025 and average 4% in the medium-term.
Banking, Infrastructure and Development
Namibia has a highly developed banking and financial services sector with modern infrastructures, such as online and cellphone banking. The Bank of Namibia (BoN) is the central bank of Namibia responsible for performing all other functions ordinarily performed by a central bank. There are five BoN authorised commercial banks in Namibia.
It is estimated that about 60 % of the Nambian population have access to electricity.
Namibia has a well-established road infrastructure that covers 44 500km and is regarded as one of the best on the continent.
Namibia instituted The Transport Infrastructure Improvement Project in 2017. The objective of the project is to enhance the trade competitiveness of Namibia and the SADC sub-region, through improvements in the logistics value chain. These ongoing improvements will improve both rail and road transport.
The Ports of Luderitz and Walvis Bay have ongoing expansion projects.
Retail Sector
Much of the retail sector is an almost equal share of traditional and modern trade outlets with modern trade expanding at the expense of traditional trade.
Namibia Statistics Agency (NSA) has revealed that Namibia’s retail sector is worth just over $4.5 billion annually and that the sector is growing at a rate of over 10% per annum which means that the retail sector is changing rapidly.
Entering or expanding operations in the Namibia’s retail sector
Frontline Research Group, who have three decades of experience in conducting market research in developing economies and traditional trade and have worked in Namibia for many years.
Steve Johnson, Managing Director at Frontline Research Group, says, “FMCG and CPG companies wanting to understand the Namibian retail sector will find that our knowledge of the region will make their entry or expansion a lot easier.”
The company’s ability to produce accurate data in the poor record keeping traditional trade sector are second to none.
“We have developed tools and methodologies for the collection and analysis of data regarding market trends, consumer behaviour, and the competitive landscape. Our market intelligence based on years of experience, within this market, are what sets us apart,” says Steve.
Frontline Research Group are planning to conduct another retail census of Namibia, to update their current data, within this evolving market. If you would like to be a part of this project and acquire data that is specific to you, as well as our analysis, insights, and direction, please contact:
Steve Johnson, Managing Director at Frontline Research Group on Tel: +230 5493 6376 or email: steve@frontlineafrica.com