Economy expected to contract by at least 8%

The economy is expected to grow by a record -7.8% this year, the Bank of Namibia’s baseline forecast shows.
In its updated economic outlook released today, the BoN worst case scenario forecast for 2020 is -12.2%.
In its April outlook, the central bank expected overall economic growth of -6.9%.
“Risks to domestic growth are currently dominated by the Covid-19 pandemic, especially through uncertainty regarding its expected duration,” the BoN said.
“Risks to domestic growth are dominated by ongoing travel restrictions that are in place for many countries, including Namibia. Such measures are restricting business activities and causing disruptions to supply.
“Other risks to domestic growth outlook include the persistently low international prices of Namibia’s export commodities, and adverse climatic conditions,” the BoN said.
Namibia has been stuck in a recession since 2016. Annual economic growth for the years were: 2016 (-0.3%); 2017 (-0.3%); 2018 (0.7%) and 2019 (-1.1%).