The Namibian stock market saw modest gains this week, with the NSX Local index rising 0.54% to 684.7 and the NSX Overall Index edging up 0.02% to 1850.4. Among the largest companies on the exchange, FirstRand Namibia maintained its position as the market leader with a market capitalization of N$12.4 billion, followed by Capricorn Group, Namibia Breweries, and Mobile Telecommunications. Oryx Properties was the top performer, closing the week 6.4% higher at N$12.8 per share. Capricorn Group also saw a small 0.1% increase to N$19.54. In terms of trading volume, FirstRand Namibia led the market with N$0.6 million worth of shares traded, followed by Stimulus Investments with N$0.5 million. The Namibian dollar strengthened against major global currencies, gaining 0.27% against the US dollar to N$17.67, 0.85% against the British pound to N$23.20, and 1.40% against the euro to N$19.54.
In June 2024, Namibia’s Private Sector Credit Extension (PSCE) saw a month-on-month contraction of 0.64%, with annual growth reaching a modest 1.81%. The total outstanding credit to the private sector, after adjustments for interbank swaps, stood at N$113.6 billion. The decline was driven largely by a substantial repayment of N$1 billion by corporate entities, particularly in sectors such as commercial services, fishing, manufacturing, and energy. Meanwhile, credit extended to individuals grew by 2.70% year-on-year, supported by an increase in overdraft and installment credit, making it the highest annual growth rate recorded in 2024. Despite some positive movements, credit activity across various categories was mixed. Overdraft lending experienced a significant year-on-year decrease of 18.62%, marking its largest decline since 2005 and continuing a five-month contraction trend. Conversely, installment credit emerged as the fastest-growing segment, expanding by 14.98% year-on-year, albeit slightly slower than the previous month. Mortgage loans recorded minimal growth at 0.63% year-on-year, reflecting reduced demand due to elevated interest rates.
