WINDHOEK, Aug. 16 — Namibia’s gross domestic product is projected to grow by 1.4 percent and 3.4 percent in 2021 and 2022, respectively, up from a contraction of 8 percent in 2020, according to the country’s central bank.
The projections are mainly based on better growth prospects in the mining industry and recovery for some industries in the tertiary sector, the Bank of Namibia said in its Economic Outlook for August 2021.
The forecast of 1.4 percent growth for 2021 was down from the 2.7 percent projected in the February 2021 Economic Outlook update, the central bank said.
“A significant downward revision was made on growth for diamond mining based on revised output targets by the industry,” it said.
“Other major downward revisions to growth between February 2021 and August 2021 were made for all secondary industries. In general, the revised lower economic growth is largely attributed to new variants of the coronavirus, vaccination hesitancy, and slow vaccination rates in Namibia that were not expected during the February 2021 update,” the central bank said.