Namibia has secured first place in Africa and second globally in the 2025 Greenfield FDI Performance Index, climbing 10 places from last year and outperforming its expected share of global FDI projects by nearly eight times.
The country’s rise is underpinned by transformative offshore oil discoveries in the Orange Basin, where TotalEnergies and Shell have identified an estimated 11 billion barrels of light oil and 2.2 trillion cubic feet of natural gas, according to the US International Trade Administration (ITA). If commercially viable, these reserves could more than double Namibia’s GDP by 2040, positioning it alongside frontier oil success stories such as Guyana.
Diversified Investment Flows
While hydrocarbons dominate headlines, Namibia has attracted a diverse range of foreign investment. In renewable energy and manufacturing, Coca-Cola Beverages Africa has committed $50 million to a new bottling line and water treatment plant. Mining remains a strong pillar, with the Fraser Institute ranking Namibia fourth in Africa for investment attractiveness in 2023, trailing only Morocco, Botswana, and Zambia.
Nangula Uaandja, CEO of the Namibian Investment Promotion and Development Board (NIPDB), credits “stability, rule of law, an independent judiciary, and openness to investment” as critical enablers. Since its creation in 2021, the NIPDB has worked to align labour skills with investor needs and integrate SMEs into value chains, ensuring that foreign investors connect with local suppliers.
Balancing Growth with Inclusion
Despite abundant resources and a small population of just over 3 million, Namibia faces deep-rooted inequality, a legacy of apartheid-era structures. Unemployment affects one-third of the workforce — and 44.1% of youth. Authorities recognise that translating FDI into broad-based economic gains will require targeted job creation and skills development.
The IMF projects headline net FDI to exceed $2 billion annually until 2030, with mineral wealth driving growth. However, it warns that “job-rich, private sector-led growth has remained elusive.” For investors, Namibia presents a compelling mix of resource-backed growth potential, political stability, and proactive investment facilitation — but one that will hinge on inclusive development strategies to ensure long-term sustainability.
Source: Further Africa
