"Bank of Namibia: Lifting the Veil on Monetary Policy”

Last week marked a milestone for the Bank of Namibia as we embarked on a journey of unprecedented transparency, connectivity, and education. As part of the Bank of Namibia’s efforts to enhance its stakeholder engagements and bring the Bank closer to communities it serves, the Bank of Namibia conducted three stakeholder engagements in Oshakati, Oshana Region, led by the governor Johannes !Gawaxab. These interactive dialogues included the Monetary Policy Announcement, a Public Lecture at the University of Namibia's (UNAM’s) Oshakati Campus, and a dialogue with regional business leaders.

Previously, the governor conducted public lectures in Rundu and Nkurenkuru in Kavango East and Kavango West regions, respectively. The lectures sought to explain inflationary dynamics in lay terms at the time of Namibia's peak inflation of 7.3% around August last year. Over the past 24 months, the public outreach drive has covered the Erongo and Kharas regions, each expounding the mandate of the Bank. Additionally, the Monetary Policy Dialogue, which serves as an extensive discourse platform featuring economists, analysts, price-setters, union and civic representatives, and the media, has been established since last year.

At the core of the central bank's existence lies a profound responsibility – the stability of Namibia's monetary and financial landscape. The decisions of the Bank, often intricate and far-reaching, have an indelible impact on the lives of every Namibian. With this recognition, the Strategic Plan (2022-2024) has set out to enhance the central bank’s link with various stakeholder groups, which were previously not catered for in the Bank’s outreach programme.

The Monetary Policy Announcement, held for the first time at our Oshakati Branch, was not just an announcement but a conversation. The governor demystified the process, unveiled the intricacies of monetary policy decisions, and invited questions that led to better understanding. The time-tested process captured in the Bank's Monetary Policy Framework determines the repo rate decision which is announced at a media conference every two months. Often perceived as complex or robotic in certain quarters, monetary policy was explained in a manner that everyone could grasp. It is our belief that an informed citizenry is essential for a robust economy, and this engagement aligns with that vision.

The subsequent Public Lecture at UNAM's Oshakati Campus was particularly poignant. Addressing the youth, the architects of our future, was an opportunity we couldn't let slip by. We embarked on a journey of sharing knowledge – knowledge about the Bank of Namibia’s functions, our role in the financial system, and how our decisions impact the nation's economic trajectory. As the Governor stood before those eager minds, we saw not just students but potential future economists, business leaders, and policymakers who now possess a deeper understanding of the financial world they will shape.

Transparency

Yet, it was the dialogue with regional business leaders that emerged as the pinnacle of this series of engagements. The Oshana Region, a vibrant hub of economic activity, hosted an interaction that was as insightful as it was transformative. We recognise that the Bank’s decisions ripple through businesses, affecting their operations and strategies. This dialogue allowed the Governor to hear concerns, understand needs, and which ultimately builds a collective vision for a thriving regional economy.

In retrospect, the significance of these engagements becomes even more apparent.

Richard Rogers once said, "Transparency is not the same as looking straight through a building from one side to the other. It's not just a physical idea, it's also an intellectual one."

The Bank of Namibia is not just an institution confined within walls. It is a pivotal force in the economic narrative of our nation. But this role is not one to take lightly. It's a role that comes with the onus of fostering a culture of open dialogue, understanding, and collaboration. The world around us is evolving, and so must we. Stakeholder engagement is not just a buzzword but a cornerstone of central bank independence and accountability. Our stakeholders – from the government to the public, from financial institutions to the businesses at the periphery – all look to us for direction, answers, and collaboration. We plan to engage other regional stakeholders in the months to come to build on the foundation that has been laid.

Ultimately, we are doing this because it will help the Bank make better policy decisions and enhance its credibility as a constitutional institution, which is critical now as we strive to promote price and financial stability and will be for years as we seek to modernize the financial sector and transform the Namibian economy.

In conclusion, the Bank of Namibia isn't merely a regulator; it is an enabler, a partner of progress, and a beacon of stability. These engagements were more than events; they were statements of our intent. Intent to remain transparent, to foster understanding, and to build a Namibian economy that leaves no one behind. Through these dialogues, we sowed seeds of awareness and harvested connections that will shape the future of our great nation.