Nida’s assets surge by 30% amid investment growth
The Namibia Industrial Development Agency (Nida) has announced that its total assets have grown by 30% to N$1.37 billion, driven by a 73% increase in investment property, now valued at N$789 million.
Nida yesterday said it successfully completed six years’ worth of audited financial statements within just six months, marking a significant achievement since its establishment in 2018.
These statements, covering the financial years 2018/2019 to 2023/2024, have been submitted to the finance and public enterprises ministry's system and received the necessary approvals, the company said.
Shareholders' equity also saw a 20% rise to N$1.12 billion, showcasing the agency's strong financial growth. Additionally, a comprehensive valuation placed Nida’s total asset value at N$3 billion for the 2019-2024 period, following an independent nationwide property assessment at the end of 2024, the company announced.
At the agency’s inaugural annual report briefing in Windhoek yesterday, board chairperson Sebulon Kankondi said these milestones position Nida to better fulfil its mandate of driving industrial development in Namibia.
While the agency faces challenges, such as an increased gearing ratio of 22% and a reduced current ratio from 79% in 2019 to 50% in 2024, its strengthened financial position enhances its ability to raise capital and enter strategic joint ventures.
Over the six-year period, annual total income grew by 20% to N$165 million, supported by diverse revenue streams, including agri-business sales (N$31 million), property rentals (N$44 million), dividends and interest income (N$42 million), government grants (N$26 million) and breeding gains (N$19 million).
However, operational challenges persist, with a cost-to-income ratio averaging 143% and operating losses of N$102 million last year.
Strategic business plan
Looking ahead, Nida has developed its first-ever integrated strategic business plan for 2025-2026 through 2029-2030, the company said, which includes clear capitalisation plans within the first six months.
This plan has been submitted to the relevant ministries for consideration and approval. Additionally, a comprehensive commercial and legal assessment of all Nida's business units was conducted, leading to the creation of a sustainable business model aligned with its mandate.
Challenges and way forward
Executive consultant (CFO Portfolio) Julius Nghikevali acknowledged the delays in publishing the annual report, attributing them to integration challenges following the merger of the Namibia Development Corporation (NDC) and the Offshore Development Company (ODC). He gave assurances that Nida has now overcome these hurdles and remains committed to leveraging its substantial asset base to strengthen financial stability and industrial growth.
Finance minister Ipumbu Shiimi yesterday highlighted the importance of fostering a high-performance culture within Nida.
He stressed that while Nida's balance sheet reflects substantial assets, these must be actively utilised to generate cash flow and ensure sustainability. Shiimi also called for a performance management system to ensure that all staff members contribute effectively to the agency’s long-term success.
Nida yesterday said it successfully completed six years’ worth of audited financial statements within just six months, marking a significant achievement since its establishment in 2018.
These statements, covering the financial years 2018/2019 to 2023/2024, have been submitted to the finance and public enterprises ministry's system and received the necessary approvals, the company said.
Shareholders' equity also saw a 20% rise to N$1.12 billion, showcasing the agency's strong financial growth. Additionally, a comprehensive valuation placed Nida’s total asset value at N$3 billion for the 2019-2024 period, following an independent nationwide property assessment at the end of 2024, the company announced.
At the agency’s inaugural annual report briefing in Windhoek yesterday, board chairperson Sebulon Kankondi said these milestones position Nida to better fulfil its mandate of driving industrial development in Namibia.
While the agency faces challenges, such as an increased gearing ratio of 22% and a reduced current ratio from 79% in 2019 to 50% in 2024, its strengthened financial position enhances its ability to raise capital and enter strategic joint ventures.
Over the six-year period, annual total income grew by 20% to N$165 million, supported by diverse revenue streams, including agri-business sales (N$31 million), property rentals (N$44 million), dividends and interest income (N$42 million), government grants (N$26 million) and breeding gains (N$19 million).
However, operational challenges persist, with a cost-to-income ratio averaging 143% and operating losses of N$102 million last year.
Strategic business plan
Looking ahead, Nida has developed its first-ever integrated strategic business plan for 2025-2026 through 2029-2030, the company said, which includes clear capitalisation plans within the first six months.
This plan has been submitted to the relevant ministries for consideration and approval. Additionally, a comprehensive commercial and legal assessment of all Nida's business units was conducted, leading to the creation of a sustainable business model aligned with its mandate.
Challenges and way forward
Executive consultant (CFO Portfolio) Julius Nghikevali acknowledged the delays in publishing the annual report, attributing them to integration challenges following the merger of the Namibia Development Corporation (NDC) and the Offshore Development Company (ODC). He gave assurances that Nida has now overcome these hurdles and remains committed to leveraging its substantial asset base to strengthen financial stability and industrial growth.
Finance minister Ipumbu Shiimi yesterday highlighted the importance of fostering a high-performance culture within Nida.
He stressed that while Nida's balance sheet reflects substantial assets, these must be actively utilised to generate cash flow and ensure sustainability. Shiimi also called for a performance management system to ensure that all staff members contribute effectively to the agency’s long-term success.
Comments
Namibian Sun
No comments have been left on this article