Namibia to exit recession this year

Namibia’s economy will grow by 0.6 per cent in 2018 and by more than double that in 2019, the central bank has said.

The Bank of Namibia said on Friday in Windhoek that its gross domestic product (GDP) would be supported by a recovery across most sectors, particularly in manufacturing and mining.

The bank said in a statement that slower growth in neighbouring South Africa might hinder the outlook.

The southern African nation Namibia slipped into recession in 2017.

According to the statistics office, the Namibia economy contracted in the final two quarters of 2017, dragged down by sectors like construction and retail.

The southern African country’s gross domestic product (GDP) contracted 1.0 per cent year-on-year in the fourth quarter, after a 1.0 per cent drop in the third quarter.

For 2017 as a whole, GDP fell 0.8 per cent versus growth of 0.7 per cent in 2016.

The statistics office said construction contracted partly because of a drop in investment in mining, while hotels and restaurants also performed weakly.

(Reuters/NAN)