Namibia’s annual inflation rate accelerated to 5% in August 2026, reaching its highest level since February 2024.

With the monetary policy announcement expected tomorrow, economist Rodney !Hoaeb hopes that the central bank will have consumers in mind, as the increment of the repo rate was already choking.
 

The Bank of Namibia (BoN) has announced a 25-basis point increase in the repo rate to 6.75%. The move came in light of rising inflation, global economic uncertainty, and the need to protect the currency peg between the Namibian dollar and the South African rand.

Motorists across the country will pay more for fuel from midnight tonight, as pump prices are set to increase once again.

Fuel prices affect more than just motorists - they influence transport, food prices, farming, logistics, and business operations.

Botswana faces a greater risk of inflation being higher than currently projected due to the proposed increase in electricity tariffs and transport fares.

The development is likely to negatively impact Namibian cross-border traders. 

The annual inflation rate in September increased by zero- comma one percent compared to three-comma-four percent rcorded at the same time last year.

The Namibia Financial Instituations Supervisory Authority indicated the inflation now stands at three-comma-five percent.

High inflation on fruits and vegetables is causing losses for local vendors selling on the streets of Windhoek. 

Recent statistics published on the Namibia Consumer Price Index show the annual inflation rate at 3.2%.

The Bank of Namibia (BoN) this week increased the repo rate by 50 basis points, and this has made inflation the main talking point in households.

By historic standards, inflation is not at its highest, but it has become a more prevalent issue in 2023 than it was in 2016/17.

Namibia has recorded an increase in inflation during 2022 compared to 2021, posing great pressure on the cost of living. 

This was revealed in the Bank of Namibia 2022 Annual Report, launched in the capital on Wednesday. 

Overall inflation rose significantly from 3,6% in 2021, to 6,1% in 2022.

The Bank of Namibia has increased the repo rate by 25 basis points, from 6.5 to 7 percent.