Low economic growth worrying

NAMIBIA has many advantages that could and should be further developed into business opportunities.Mobile Telecommunications (MTC) Managing Director Bengt Strenge, who was speaking at the launch of the reformed Presidential Economic Advisory Council (PEAC) in Windhoek on Monday, said some of the advantages included a good business climate, natural resources and infrastructure.

He said the importance of a good basic infrastructure cannot and should not be underestimated and the existing infrastructure in Namibia must be put forward when talking to potential investors as a competitive edge. He expressed concern that the low economic growth in Namibia, which is the main hampering factor, was the engine for development and creating wealth for the population and thereby alleviating poverty and inequalities.Strenge noted that growth cannot only come from public or government initiatives, adding that there must be a healthy portion of private initiatives.According to him, three to four per cent, which has been recorded as an average growth for the past few years, is far from enough to reach Vision 2030 goals.The Namibian Economic Policy Research Unit (Nepru) has calculated that Namibia needs an average of 12 per cent growth a year for the next 25 years, he said.He explained that Singapore could serve as a very interesting case study for Namibia.Strenge said while working in Singapore from 1981 to 1986 it was interesting to see how a society was transforming itself from an entrenched ‘drug and criminal paradise’ in the 1960s and early ’70s to a ‘business paradise’.Already during the mid ’80s it was possible to see what had been achieved only in a few years’ time, he said.By now, 25 to 30 years later, Singapore has grown into a highly respected country with one of the highest GDPs per capita in the world and with living standards for its population.-NampaHe expressed concern that the low economic growth in Namibia, which is the main hampering factor, was the engine for development and creating wealth for the population and thereby alleviating poverty and inequalities.Strenge noted that growth cannot only come from public or government initiatives, adding that there must be a healthy portion of private initiatives.According to him, three to four per cent, which has been recorded as an average growth for the past few years, is far from enough to reach Vision 2030 goals.The Namibian Economic Policy Research Unit (Nepru) has calculated that Namibia needs an average of 12 per cent growth a year for the next 25 years, he said.He explained that Singapore could serve as a very interesting case study for Namibia.Strenge said while working in Singapore from 1981 to 1986 it was interesting to see how a society was transforming itself from an entrenched ‘drug and criminal paradise’ in the 1960s and early ’70s to a ‘business paradise’.Already during the mid ’80s it was possible to see what had been achieved only in a few years’ time, he said.By now, 25 to 30 years later, Singapore has grown into a highly respected country with one of the highest GDPs per capita in the world and with living standards for its population.-Nampa