#JustIn: IMF calls for public wage reform – again

Accelerating public wage reform and the reform of state-owned enterprises (SOEs) is vital for the health of the Namibian economy, the International Monetary Fund (IMF) has said.

This include introducing early retirement, the IMF said following its annual Article IV Consultation with the Namibia, which ended today.

“Implementing the authorities’ fiscal consolidation strategy is pivotal to preserve debt sustainability and protect against the volatility of SACU revenues, which represent a significant contribution to the budget,” the IMF said in a statement.

For 2024 and the medium-term, Namibia’s growth path is expected to stabilise at just below 3%.

“New mineral discoveries and the investment in green energy provide an opportunity to boost growth, employment and foster diversification. Strengthening the public-private partnership framework and addressing constraints hampering entrepreneurship, including the regulatory burden, skill mismatches, input costs, especially energy and water, and governance challenges would help the Namibian economy benefit from the investments in these emerging sectors,” according to the IMF.