Budget law signed,IPC demands delivery

Michael Mwashindange

The 2026/27 national budget has officially become law, paving the way for government spending to begin and shifting attention from parliamentary approval to implementation, accountability and service delivery.

President Netumbo Nandi-Ndaitwah has signed the appropriation bill into law following its passage in parliament, and it was gazetted and published last Wednesday, allowing government ministries, agencies and state-owned enterprises to access approved funding for the new financial year.

The N$104 billion budget, tabled by finance minister Ericah Shafudah in February under the theme ‘People, Productivity and Prudence’, provides N$81.3 billion for operational expenditure, N$6.5 billion for development projects and N$16.2 billion for interest payments.

Government revenue is projected at N$89.8 billion, leaving a financing gap of about N$15 billion to be covered through borrowing.

Independent Patriots for Change (IPC) shadow finance minister Michael Mwashindange says the country has entered the most critical phase of the budget cycle.

“Following the passing and gazetting of the 2026/27 national budget, Namibia now enters the most important phase of the fiscal cycle – implementation, accountability and delivery,” he says.

Mwashindange stresses that the key question is no longer what the government promised, but whether it can deliver meaningful results for ordinary Namibians.

He says the treasury will begin releasing funds to ministries and public institutions, enabling procurement processes, infrastructure projects, staffing programmes and other public service commitments to move into execution.

However, he warns that increased borrowing to finance the budget deficit could place additional pressure on public finances through rising debt and interest costs.

Mwashindange expresses concern that operational expenditure continues to consume a significant portion of the budget while development spending remains limited.

“The danger is that the government spends more on maintaining the system than on expanding economic opportunity and productive growth,” he says.

Among his expectations are the creation of jobs for unemployed Namibians, particularly young people, the timely completion of capital projects, improved healthcare services and the availability of medicines at public health facilities.

He further calls for funds allocated to communities to reach their intended beneficiaries rather than remaining tied up in administrative structures.

As the official opposition, Mwashindange says IPC will closely monitor budget execution, public debt management, revenue performance and spending efficiency.

“The Namibian people deserve more than announcements and headlines. They deserve measurable outcomes, responsible governance and an economy that creates opportunities for all,” he says.

National Council spokesperson Rafael Hangula says the budget was passed on 19 May, where several motions were considered during its sitting, including urgent measures to address the growing road accident crisis in Namibia.

Political analyst Sakaria Johannes says the focus should now shift from the approval of the budget to its implementation.

He says the government must prioritise youth empowerment and address youth unemployment through targeted projects and strategic investments.

Johannes adds that education, infrastructure, technology and industrial development should remain key priorities during the implementation of the budget to stimulate economic growth and create sustainable employment opportunities.


Latest News