Business Reporter<\/p>\n\n\n\n
THE Minister of Finance, Ericah Shafudah, today tabled the national budget for the 2026\/27 financial year under the theme, \u201cPeople, Productivity, Prudence.\u201d Amidst shrinking economic growth on the back of Namibia\u2019s persistent decline in diamond revenue and a lowering of SACU receipts.<\/p>\n\n\n\n
This year’s budget totalling around N$ 87.9 billion is significantly lower to the budget of N$106.3 billion tabled last year.<\/p>\n\n\n\n
The finance minister stated that the operational budget is estimated at N$81.3 billion for FY2026\/27, representing an increase of N$746 million from the revised preliminary outturn of N$80.6 billion for FY2025\/26.<\/p>\n\n\n\n
Shafudah stated that for FY2026\/27, the key priorities underscoring the operational budget are estimated to be around N$5.9 billion to cover, amongst others, additional funding to support the government’s obligations to subsidise tertiary education to the tune of N$2.8 billion. A total budget of N$1.7 billion has been designated for the fiscal year 2026\/27 to enhance the salary structure for civil servants.<\/p>\n\n\n\n
An allocation of N$78 million is earmarked to address a shortfall in personnel for Judges and Magistrates, while a total of N$259 million is earmarked for the recruitment of Health Professionals, ensuring that fiscal prudence does not compromise the delivery of vital public services.<\/p>\n\n\n\n
An amount of N$108 million is budgeted for the recruitment of the National Correctional Service, whilst an amount of N$58 million is earmarked for improvements to the basic pay and benefits of Public Office Bearers (POBs).<\/p>\n\n\n\n
On the other hand, Shafudah stated that the development budget for FY2026\/27 is set at N$6.5 billion for state-funded developmental projects, as guided by the execution capacity of ongoing projects in FY2025\/26.<\/p>\n\n\n\n
\u201cIt is worth noting that this budget is also expected to receive N$4 billion in grant- and loan-funded projects to improve infrastructure across various ministries,\u201d Shafudah said.<\/p>\n\n\n\n
She added that the Social Sector, encompassing education, health, social safety nets and youth empowerment, remains the largest area of government spending. For FY2026\/27, this sector is allocated N$54.3 billion, accounting for 61.7% of the total budget, excluding interest payments.<\/p>\n\n\n\n
\u201cThe prioritisation of education and health in this Budget reflects the Government\u2019s firm commitment to the objectives of NDP6. These investments are strengthening human capital, improving productivity, and supporting inclusive growth. A total of N$28 billion has been earmarked for the vote Education, Innovation, Arts and Culture. Of this amount, N$2.8 billion is designated for subsidised tertiary education and for alleviating school congestion,\u201d Shafudah said.<\/p>\n\n\n\n
She added that a total of N$939 million has been earmarked for developmental projects, while the vote for Sports, Youth and National Services is allocated N$750 million in FY2026\/27. Over the Medium-Term Expenditure Framework (MTEF) period, a total of N$83.6 billion has been allocated.<\/p>\n\n\n\n
The Ministry of Health and Social Services has been allocated a total of N$13.1 billion, which includes N$259 million for the recruitment of health professionals.<\/p>\n\n\n\n
\u201cOver the MTEF period, the ministry will receive a total of N$38.5 billion to upgrade public hospitals and clinics to match the private sector’s standards,\u201d Shafudah said.<\/p>\n\n\n\n
The Ministry of Veteran Affairs received N$1.5 billion in FY2026\/27 and a total of N$4.6 billion over the MTEF.<\/p>\n\n\n\n
\u201cThis Budget is about restoring balance\u2014between ambition and affordability, between growth and stability, and between today\u2019s needs and tomorrow\u2019s obligations. The choices before us are difficult, but they are necessary. Therefore, this Budget prioritises macroeconomic stability, debt sustainability, and value for money, while protecting critical social and economic investments. Through disciplined budgeting, improved project selection, and outcome-based spending, the government is laying the foundation for sustainable growth and job creation during the current MTEF period 2026\/27\u20132028\/29,\u201d Shafudah concluded.<\/p>\n\n\n\n
Photo: Namibia Revenue Agency-NamRA<\/p>\n","protected":false},"excerpt":{"rendered":"
Business Reporter THE Minister of Finance, Ericah Shafudah, today tabled the national budget for the 2026\/27 financial year under the theme, \u201cPeople, Productivity, Prudence.\u201d Amidst shrinking economic growth on the back of Namibia\u2019s persistent decline in diamond revenue and a lowering of SACU receipts. This year’s budget totalling around N$ 87.9 billion is significantly lower …<\/p>\n","protected":false},"author":10,"featured_media":390668,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27,24],"tags":[],"class_list":["post-390620","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","category-news"],"yoast_head":"\n