Namibia – land of the brave UNCLASSIFIED

Basic Facts 824,269 km2 2.1m population Independent in 1990 Multi-party democracy English = official language Currency pegged to SA Rand UNCLASSIFIED

Economic facts Upper middle income country GDP $12.2bn GDP per capita $6,126 (PPP), $4,500 (Atlas) Sovereign credit rating: BBB- (Fitch), Baa3 (Moody’s) Ease of Doing Business 87 th (out of 185) Global Competitiveness Index 92 nd (out of 144) Good Governance Index 6 th (out of 52 in Africa) Corruption Perception Index 58 th (out of 176) UNCLASSIFIED

Key economic points Broad based economic growth Member of WTO, SADC, SACU Moderate GDP growth (4,7% in 2012) and stable macro economic policies Emerging oil and gas sector and marine service industry Large government/state-owned enterprise sector Social safety Nets: Universal old-age grants and for vulnerable groups Bond market seal of approval UNCLASSIFIED

Breakdown of GDP (2012) UNCLASSIFIED *Total Tourism contribution: 15.5%

Bilateral Trade UNCLASSIFIED Total bilateral trade in 2012: £349m UK-Nam trade in goods in 2012(exports): £76m 106% => metal manufactures, metalliferous ores, metal scrap, iron, steel, cars and miscellaneous manufactured articles Nam-UK trade in goods in 2012 (imports): £273m 39% => diamonds, grapes, beef, beer, charcoal 3:1 imbalance (exports to imports) Trade deficit improvedby 52%

Strengths Macro Economic Stability Low levels of government debt Stable/pragmatic business-friendly govt Openness to international trade/investment Easy Access to Government decision makers (open door policy) Clear property rights Independent courts and press Good infrastructure UNCLASSIFIED

Weaknesses High unemployment NEEEF (BEE) racially skewed (socio-economic injustice) High GINI coefficient (income inequality) Shortage of skilled labour Underperforming education and training system Deteriorating health sector (infant mortality) Low labour productivity Government bureaucracy Work permit difficulties Challenging taxes for extractive industry: withholding tax (25%), VAT (15%), corporate tax on oil & gas (42%), royalties eg. oil & gas (5%) Slow judicial system UNCLASSIFIED

Opportunities Minerals (including oil and gas) Agriculture and Agro-industry potential Infrastructure development Transport and logistics hub, best port in Africa Potential regional base Proximity to SA and Angola UNCLASSIFIED

FCO commercial support in country BHC Windhoek = VSEP/micro mission 1UKB No UKTI support / in house new commercial officer Active British Business Group eg. assist an AIM-listed company to secure major investment financing Networking/guest speakers Facilitate UK business visits and key calls Briefings / Doing Business Guide / Extractive Industry Report / Working on ‘Easing the way for investment’ Access and host events eg. Product launches UNCLASSIFIED

UKinNamibia website UNCLASSIFIED

Thank you UNCLASSIFIED