Namibian equity markets delivered contrasting results this week, with the NSX Local index gaining 0.31% to close at 751.6 points, while the NSX Overall Index declined 2.22% to finish at 1752.4 points. As of August 3, 2025, FirstRand Namibia remains the largest local company on the exchange with a market capitalization of N$12.5 billion, followed by Capricorn Group at N$11.3 billion, Mobile Telecommunications at N$6.4 billion and Namibia Breweries at N$6.0 billion. Standard Bank Namibia Holdings led the market this week, with its shares rising 1.9% to close at N$11.06 per share. Capricorn Group secured second place among gainers, advancing 0.3% to settle at N$21.81. Trading volumes were highest for Standard Bank Namibia Holdings, which saw N$750 thousand worth of shares traded during the period. Capricorn Group recorded the second-highest trading activity with N$255 thousand worth of shares changing hands. The Namibia Dollar weakened against all major currencies this week. It declined 1.63% against the US Dollar to close at N$18.05, fell 0.42% against the British Pound to finish at N$23.98, and lost 0.27% against the Euro to end at N$20.91.
The South African Reserve Bank cut its benchmark interest rate by 25 basis points to 7% in a unanimous decision, as inflation remains well-contained at the bottom of the central bank’s target range. They noted that headline inflation sits at just 3% with core inflation at 2.9%, though the bank expects a modest rise to average 3.3% for the year due to higher food costs and slower-declining fuel prices. More significantly, the Reserve Bank signalled a major shift in its inflation targeting approach, announcing it will now aim for the bottom of its 3-6% target range at 3%, rather than the previous midpoint of 4.5%. This change could pave the way for approximately five additional rate cuts over the medium term, potentially taking rates below 6% as the bank seeks to anchor expectations around permanently lower inflation.
