The Namibia Local Businesses Association (NALOBA) has bemoaned tax debts incurred by businesses that the Namibia Revenue Agency (NamRA) refuses to write off.

The association says the decision by NamRA to freeze some of their bank accounts negatively affects their operations and wants the government to intervene.

"Therefore, on behalf of native businessmen and women, NALOBA is requesting His Excellency the President to pardon all local businesses on tax debts and start afresh. NamRA should embark on providing training and tax education and advise our Namibian taxpayers going forward," said Peter Amadhila, Vice President of NALOBA.

NALOBA further wants the government to come to their aid by subsidising a portion of this debt against the current repo rate.

"The repo rate currently standing at 7,75% as regulated by the central bank is quite high and affects our businesses through the repayments of our business bonds and housing, resulting in many entities and individual households defaulting and losing their properties."

The government has taken note of the concerns of the business community, says President Mbumba.

"It is understood that businesses went through difficult times. It is understood that during COVID, families and everyone went through difficult times, and how to take ourselves out of that is a big problem."

Vice President Dr. Netumbo Nandi-Ndaitwah added, "From the beginning, we have been talking about private-public partnerships, but the private sector also has to play their role. I know that there are some of us who really have not been fair to our nation, particularly when we are given some responsibilities, to the point that in this country we are finding construction work that was given to the private sector but left unfinished, and money is paid. I think if we are honest with ourselves, we know those cases."

Finance Minister Iipumbu Shiimi assured the business representatives that their concerns are being addressed. "NamRA is willing to work with businesses and the private sector on how to organise their tax affairs because we are all aware that when the business makes an income and it is more than what is required, then you are able to pay tax because the tax law doesn't say you pay when you are making losses, only when you are making an income, so it is almost pro-business. I understand education is important."