The domestic economy is expected to expand by 3.7% in 2024 and is forecast to further grow by 4.1% in 2025, indicating a positive trajectory for the country's economic landscape.

This projection was given in the Bank of Namibia's (BoN) Economic Outlook update for March 2024, shedding light on the nation's economic prospects.

On a global scale, the economic outlook remains tepid for 2024, with a slight improvement anticipated in 2025. This projection, the central bank says, is influenced by factors such as elevated central bank policy rates to combat inflation.

In emerging markets and developing economies, growth is expected to hold steady at 4.1% in 2024 before edging up to 4.2% in 2025. 

However, the Namibian economy is expected to experience a slowdown in 2024 before a marginal improvement is seen in 2025. Factors contributing to this deceleration include weakened global demand for commodities and slower growth in the primary sector. Risks to domestic growth include water. 

The Economic Outlook update for March 2024 provides valuable insights into the economic landscape, highlighting both opportunities and risks for Namibia's financial well-being.