The Namibian Stock Exchange (NSX) posted optimistic positive factors this week, with the NSX Local index rising 0.26% to 685.5, whereas the NSX Overall Index confirmed extra substantial progress of 1.65%, closing at 1885.6. FirstRand Namibia maintained its place because the market chief as of 20 October 2024, with a market capitalization of N$12.5 billion, adopted by Capricorn Group at N$10.2 billion, Namibia Breweries at N$6.0 billion, and Mobile Telecommunications at N$5.7 billion. Letshego Holdings Namibia emerged because the week’s standout performer, with a outstanding 6.4% enhance to shut at N$5 per share, whereas Standard Bank Namibia Holdings recorded a extra modest acquire of 0.7%, ending at N$9.02. Trading exercise was notably excessive for Mobile Telecommunications, which led the quantity charts with N$6.0 million value of shares traded, adopted by Standard Bank Namibia Holdings with N$2.5 million. The Namibian Dollar confirmed weak spot in opposition to main currencies, declining 0.64% in opposition to the US Dollar to N$17.51, 0.53% in opposition to the British Pound to N$22.85, and marginally by 0.08% in opposition to the Euro to shut at N$19.04.
The Bank of Namibia’s Monetary Policy Committee has taken a decisive step by reducing the repo charge by 25 foundation factors to 7.25 % throughout its fifth bi-monthly assembly of 2024. This unanimous choice comes amid a posh financial panorama the place home exercise confirmed progress within the first eight months of 2024, regardless of shedding momentum within the second quarter. The financial system recorded a slower progress charge of three.5 % throughout Q2 2024, down from 4.3 % within the earlier quarter. Looking forward, progress projections have been moderated to three.1 % for 2024 and three.9 % for 2025, primarily as a result of weakening main trade efficiency and ongoing drought situations. On the inflation entrance, there’s been vital enchancment, with the speed falling to three.4 % in September 2024 – the bottom since August 2021. The medium-term inflation forecast has been revised downward to 4.3 % for 2024 and 4.0 % for 2025, supported by beneficial oil value outlooks and a stronger alternate charge. However, challenges stay because the nation’s merchandise commerce deficit widened to N$25.8 billion within the first eight months of 2024, up from N$21.2 billion in the identical interval final yr. While worldwide reserves declined to N$57.1 billion by September’s finish, they nonetheless present 3.9 months of import cowl, sustaining adequate backing for the forex peg with the South African Rand.
