In the week ending September 29, 2024, the Namibian Stock Exchange (NSX) displayed a mixed performance, with divergent trends in its local and overall indices. According to the latest market data, the NSX Local index experienced a marginal decline of 0.03%, closing at 682.5 points. In contrast, the NSX Overall Index demonstrated robust growth, surging by 4.83% to end the week at 1920.4 points. FirstRand Namibia maintained its position as the largest local company on the exchange, boasting a market capitalization of N$12.5 billion. Capricorn Group followed closely with N$10.2 billion, while Namibia Breweries and Mobile Telecommunications rounded out the top four with market caps of N$6.0 billion and N$5.7 billion, respectively. Standard Bank Namibia Holdings emerged as the top performer for the week, with its shares closing at N$9.02, representing a modest 0.1% increase. Capricorn Group secured the second spot, ending the week at N$19.56 per share after an identical 0.1% gain. In terms of trading volume, FirstRand Namibia led the market with N$1.6 million worth of shares changing hands. Trustco Group Holdings came in second, recording N$0.1 million in share trades. On the currency front, the Namibian dollar showed significant strength against major global currencies. It appreciated 1.81% against the US dollar, closing at N$17.19 per USD. The local currency also gained ground against the British pound, rising 1.37% to N$23.00 per GBP. Against the euro, the Namibian dollar strengthened by 1.87%, ending the week at N$19.17 per euro.
The country’s annual inflation rate for August 2024 has shown a slight decrease, dropping to 4.4 percent from 4.7 percent recorded in the same month last year. On a month-to-month basis, the inflation rate increased marginally to 0.3 percent in August, up from 0.2 percent in July. The core inflation rate, which excludes volatile elements from the calculation, remained stable at 3.8 percent. A breakdown of the inflation figures reveals that goods experienced a higher rate of price increases at 5.1 percent annually, while services saw a more modest 3.4 percent rise. The average annual inflation rate for the past year, from August 2023 to August 2024, stood at 5.0 percent, with the twelve-month average from September 2023 to August 2024 slightly higher at 5.1 percent. Regional disparities in inflation rates were evident across Namibia. The Khomas region (Zone 2) recorded the highest inflation rate at 5.4 percent, while both Zone 1 (encompassing the northern and northeastern regions) and Zone 3 (covering the southern and coastal areas) experienced lower rates of 3.9 percent each. The main drivers of inflation in August 2024 were identified as ‘Food and Non-Alcoholic Beverages’ and ‘Housing, Water, Electricity, Gas, and Other Fuels’, each contributing 1.0 percentage point to the overall rate. Transport followed closely, adding 0.9 percentage points, while ‘Alcoholic Beverages and Tobacco’ contributed 0.6 percentage points.
