Namibia will receive a N$1.5 billion loan from Germany’s Kreditanstalt für Wiederaufbau (KfW) development bank to fund water projects.
The loan has a 20-year repayment period, with a five-year grace period.
The loan will be used by the Namibia Water Corporation (NamWater) under the Water Sector Support Programme II for four projects across the country.
This projects are the Omundaungilo–Omutsegwonime Bulk Pipeline Scheme (phases 1 and 2), the Oshakati–Ondangwa–Oshali–Omuthiya–Omutsegwonime Pipeline Replacement (phases 1 and 2), the Katima Mulilo Extension (Phase 2) and Package Plants (desalination units).
Finance minister Ericah Shafudah, during the signing ceremony on Monday said, the loan terms and conditions include a 10.09% interest rate.
“This funding is for the construction, rehabilitation, and upgrading of extensive bulk water infrastructure that will directly address the water supply challenges faced by communities, particularly in the northern regions,” said Shafudah.
