The total size of the budget for 2021/22 fiscal year is N$67.9 bn. Out of this aggregate expenditure, N$8.5 billion is earmarked for interest payments and it is deemed appropriate. This is 16.3 percent of revenue.
Of the N$67.1bn, N$31.6bn (53.1%) was allocated to the social sector. N$12.1bn (20.3%) was allocated to the Public Safety and order sector. N$11.7bn (19.8%) was allocated to the Economic and infrastructure sector. N$4.0bn (6.8%) was allocated to the Administrative sector.
The Social Sector was allocated the largest share of the budget in the 2021/22 financial year, receiving N$31.6bn equivalent to 53.1% of total planned expenditure.
The Social sector comprises of the Ministry of Health and Social Services, The Ministry of Education, Arts and Culture, Vote Higher Education, Technology and Innovation, The ministry of Gender Equality and Social Welfare.
Of the N$31bn, The Ministry of Health and Social Services was allocated N$8.1bn equivalent to 13.6% of total planned expenditure, The Ministry of Education, Arts and Culture was allocated N$13.8bn equivalent to 23.2% of total planned expenditure, Vote Higher Education, Technology an Innovation was allocated N$3.1bn equivalent to 5.3% of total planned expenditure, The ministry of Gender Equality and Social Welfare was allocated N$5.4bn equivalent to 9.2% of total planned expenditure.
The Public Safety Sector was allocated the 2nd largest share of the budget in the 2021/22 financial year, receiving N$12.1bn equivalent to 20.3% of total planned expenditure, supporting the maintenance of law and order and continued investment in peace and stability.
The Public Safety and Order sector comprises of the Ministry of Home Affairs, Safety and Security, The Ministry of Defence and Veteran Affairs, The Ministry of Justice and The Anti-Corruption Commission.
Of the N$31bn, The Ministry of Home Affairs, Safety and Security was allocated N$5.7bn equivalent to 9.6% of total planned expenditure. The Ministry of Defence and Veteran Affairs was allocated N$5.4bn equivalent to 9.1% of total planned expenditure. The Ministry of Justice was allocated N$491.4m and the Judiciary was allocated N$371.2m of total planned expenditure. The Anti-Corruption Commission was allocated N$62.8m of total planned expenditure.
The Economic sector - which comprises of Finance; Mines and Energy; Environment and Tourism; Industrialization, Trade and SME Development; Agriculture, Water and Forestry; Fisheries and Marine Resources; Land Reform; Economic Development and National Planning; and Public Enterprises - will receive N$7.2bn or 12.3% of total planned expenditure.
Of this, Finance (N$4.7bn, excluding interest payments) and Agriculture, Water and Forestry (N$1.7bn) will receive the biggest shares. Resources in this sector will be limited to growth-supporting programmes to safeguard macro-economic stability, to bolster the competitiveness of the national economy, crowd-in private sector in project financing and investment.
The Administrative Sector was allocated the fourth highest share of the budget in the 2021/22 financial year, receiving N$4.0bn equivalent to 6.8% of total planned expenditure.
The Administration sector comprises of Vote 02: Prime Minister, Vote 17: Urban and Rural Development, Vote 07: International Relations and Cooperation and The National Assembly.
Of the N$31bn, Vote 02: Prime Minister was allocated N$417.0m of total planned expenditure. Vote 17: Urban and Rural Development was allocated N$1.6bn equivalent to 2.7% of total planned expenditure. Vote 07: International Relations and Cooperation was allocated N$827.7m of total planned expenditure. National Assembly was allocated N$117.2m of total planned expenditure.
The Infrastructure sector - which comprises of Works; Transport; and Information and Communication Technology - will receive N$4.5bn or 7.5% of total planned expenditure.
The majority of the infrastructure sector’s allocation will be given to Transport (N$2.5bn).
This allocation will cater for growth-enhancing infrastructure to ensure Namibia fulfills its aspiration to become a regional logistics hub.
The total size of the budget for 2021/22 fiscal year is N$67.9 bn. Out of this aggregate expenditure, N$8.5 billion is earmarked for interest payments and it is deemed appropriate. This is 16.3 percent of revenue.
Of the N$67.1bn, N$31.6bn (53.1%) was allocated to the social sector. N$12.1bn (20.3%) was allocated to the Public Safety and order sector. N$11.7bn (19.8%) was allocated to the Economic and infrastructure sector. N$4.0bn (6.8%) was allocated to the Administrative sector.
The Social Sector was allocated the largest share of the budget in the 2021/22 financial year, receiving N$31.6bn equivalent to 53.1% of total planned expenditure.
The Social sector comprises of the Ministry of Health and Social Services, The Ministry of Education, Arts and Culture, Vote Higher Education, Technology and Innovation, The ministry of Gender Equality and Social Welfare.
Of the N$31bn, The Ministry of Health and Social Services was allocated N$8.1bn equivalent to 13.6% of total planned expenditure, The Ministry of Education, Arts and Culture was allocated N$13.8bn equivalent to 23.2% of total planned expenditure, Vote Higher Education, Technology an Innovation was allocated N$3.1bn equivalent to 5.3% of total planned expenditure, The ministry of Gender Equality and Social Welfare was allocated N$5.4bn equivalent to 9.2% of total planned expenditure.
The Public Safety Sector was allocated the 2nd largest share of the budget in the 2021/22 financial year, receiving N$12.1bn equivalent to 20.3% of total planned expenditure, supporting the maintenance of law and order and continued investment in peace and stability.
The Public Safety and Order sector comprises of the Ministry of Home Affairs, Safety and Security, The Ministry of Defence and Veteran Affairs, The Ministry of Justice and The Anti-Corruption Commission.
Of the N$31bn, The Ministry of Home Affairs, Safety and Security was allocated N$5.7bn equivalent to 9.6% of total planned expenditure. The Ministry of Defence and Veteran Affairs was allocated N$5.4bn equivalent to 9.1% of total planned expenditure. The Ministry of Justice was allocated N$491.4m and the Judiciary was allocated N$371.2m of total planned expenditure. The Anti-Corruption Commission was allocated N$62.8m of total planned expenditure.
The Economic sector - which comprises of Finance; Mines and Energy; Environment and Tourism; Industrialization, Trade and SME Development; Agriculture, Water and Forestry; Fisheries and Marine Resources; Land Reform; Economic Development and National Planning; and Public Enterprises - will receive N$7.2bn or 12.3% of total planned expenditure.
Of this, Finance (N$4.7bn, excluding interest payments) and Agriculture, Water and Forestry (N$1.7bn) will receive the biggest shares. Resources in this sector will be limited to growth-supporting programmes to safeguard macro-economic stability, to bolster the competitiveness of the national economy, crowd-in private sector in project financing and investment.
The Administrative Sector was allocated the fourth highest share of the budget in the 2021/22 financial year, receiving N$4.0bn equivalent to 6.8% of total planned expenditure.
The Administration sector comprises of Vote 02: Prime Minister, Vote 17: Urban and Rural Development, Vote 07: International Relations and Cooperation and The National Assembly.
Of the N$31bn, Vote 02: Prime Minister was allocated N$417.0m of total planned expenditure. Vote 17: Urban and Rural Development was allocated N$1.6bn equivalent to 2.7% of total planned expenditure. Vote 07: International Relations and Cooperation was allocated N$827.7m of total planned expenditure. National Assembly was allocated N$117.2m of total planned expenditure.
The Infrastructure sector - which comprises of Works; Transport; and Information and Communication Technology - will receive N$4.5bn or 7.5% of total planned expenditure.
The majority of the infrastructure sector’s allocation will be given to Transport (N$2.5bn).
This allocation will cater for growth-enhancing infrastructure to ensure Namibia fulfills its aspiration to become a regional logistics hub.
The national budget is a financial plan that details how the Government intends to raise money and how it intends to spend it. The budget covers the financial (rather than calendar) year, which in Namibia runs from April I to March 31 of any given financial year, consisting of 12 months. Each national budget includes a Medium-Term Expenditure Framework (MTEF), which is based on projections for revenue and expenditure over the coming 3- year period.
The national budget is important since it plays a crucial role in providing the necessary financial resources to the Government to spend on the implementation of its national development goals, the financial year 2019/20’s budget is focused on the following six themes: • Maintaining Pro-growth Fiscal Consolidation:
The Government mobilizes financial resources in different ways in order to attain the abovementioned national development aspirations. The majority of the Government’s income (over 95%) comes from taxes on items such as the incomes of individuals, profits of companies, goods and services bought by consumers (Value Added Tax), property, and transfers from the Southern African Customs Union (SACU) - as receipts for international trade - of which Namibia is a Member State. The Government also collects revenue from sources such as dividends from State-Owned Enterprises (SOEs), diamond and other mining royalties as well as various levies, administrative fees, fines and charges.
Furthermore, Government raises funds by borrowing money, either from domestic or international financial markets, to fill the gap between revenue and expenditure. Borrowed money is paid back to the lenders with interest.
The total size of the budget for 2019/20 fiscal year is N$66.6bn (inclusive of statutory payments - loans repayments) representing an increase of 1.9% from the revised 2018/19 budget of N$64.3 billion. Expenditure will remain flat in subsequent years,at N$67.l billion in 2020/21 and N$67.7 billion in 2021/22. Of the N$66.2bn, N$7.9bn (11.9%) was allocated to the development spending of the nation while the N$52.2bn (78.5%) was allocated to the operational budget of government, while debt servicing interest repayment amounts to N$6.4bn (9.6%) during the current financial year.
State revenue for 2019/20 is projected to reach N$58.4billion, growing by 3.0% from the N$56.7 billion of revenue estimated to have been collected during 2018/19. This improvement in revenue is expected to result from stronger-than-anticipated SACU receipts.
A budget deficit equivalent to 4.1% of GDP is projected for 2019/20, representing an improvement from deficits of 4.0% of GDP in 2018/19. The public debt stock is expected to grow to 49.6% of GDP in 2019/20, an increase from its 2018/19 level of 46.3% of GDP. Debt is projected to grow marginally relative to GDP in subsequent years.
The following increases in sin taxes will take effect from the 20th February 2019, as required under the SACU Agreement:
Download the complete FY2021/22 Budget Statement, presented by Ipumbu Shiimi, MP - Ministry of Finance
FY2021/22 Budget StatementDownload the complete FY2020/21 Budget Statement, presented by Ipumbu Shiimi, MP Minister of Finance
FY2020/21 Budget StatementDownload the complete FY2019/20 Budget Statement, presented by Calle Schlettwein, MP - Ministry of Finance
FY2019/20