Finance Minister Iipumbu Shiimi Tuesday signed a financial cooperation agreement with the German Government which will fund three programmes to the value of N.dollars 1.8 billion.
The financial agreement follows the 2019 government negotiations on development cooperation between the two countries.
While signing the agreement on behalf of the government, Shiimi said the various programmes to be funded under this loan include the upgrade, extension and modernizing of the Gammans water waste treatment plant in Windhoek at an amount of N.dollars 900 million.
“This investment will allow to more than double the capacity of the plant from 25 000 to 55 000 metres squared of water treated per day,” he added.
The project, he said will also complement the ongoing support provided by the German development cooperation to the City of Windhoek in implementing its long-term strategies to ensure the supply and most efficient use of water for its citizens.
Other programmes, he noted include the boosting of infrastructure based on climate-friendly technologies and for this N.dollars 540 million will be provided to extend an existing credit-line to the Development Bank of Namibia (DBN) for climate-related infrastructure projects in Namibia. This will support the further expansion of DBN’s business activities and it will be accompanied by capacity building measures for DBN to ensure compliance to international environmental and social standards.
Shiimi further said N.dollars 360 million will be provided to AgriBank for a credit line to sustainably and efficiently expand the range of financial services to small and medium-sized enterprises and agricultural households with the aim of improving food production, income and employment opportunities in rural communities.
This credit will further support the development of new and innovative financial products to unlock affordable finance especially for small scale farmers and it will be accompanied by a grant for capacity development.
Shiimi commended the German government for its support saying that the loan is just in addition to other financial assistance offered to Namibia by the German government.
On his part, German Ambassador to Namibia, Herbert Beck said he believes that the intentions of his government through the financial assistance, is that programmes are implemented and in turn change the lives of many Namibians.
Source: Namibia Press Agency (NAMPA)