The Waking Crew 2.0

Catch Jarret and Deon for their early morning antics: 06:00 - 09:00

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The Coffee Break

Get that morning buzz you need, from 09:00 - 12:00

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The Hard Drive

with Karlien, for your lunch time entertainment 12:00 - 15:00

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The Headrush

End your busy day with Chops, 15:00 - 18:00

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News Blog

A collection of longer form stories, submitted, sourced, or written by our team, that would not make sense to cover in a traditional broadcast news format, but which we wanted to share with you anyway.

(please note that views and opinions expressed on this page do not necessarily reflect those of Radiowave).

 

College Of The Arts Project Week

The Department of Visual Art at the College of the Arts, situated at the Katutura Community Art Centre, organized a project week for the first time this year. 

Lecturers and Students combined their talents to do a range of projects in the community from the 2nd to the 8th of August. 

The projects included two murals, two public sculptures, a wall mosaic, a pizza-box exhibition, a welding project and jewelry.

Mosaic mural by Kim Modise and his students at the Katatura Community Art Centre

A sculpture of an Eland made with metal and plastic cooldrink bottles

Range of craft jewellery produced by Robert Hidishange and his students

At the NAPPA youth clinic - Murals by Nicky Marais and her students

At the Theatre School Ceramics Studio - Innovative ceramic moulds by John Nampala and his students

An example of Pizza Box Art with a social message at the Pizzeria at Hidas Centre a Pizza Box exhibition by Darina Zheynova and her students

 

Brace for more rate hikes to come

By Suta Kavari - Investment Strategist at Capricorn Asset Management, an affiliate of Bank Windhoek Holdings.

 

The Bank of Namibia decided to raise its benchmark repo rate by 25 basis points at their  April policy meeting, taking the repo rate from 6.75% to 7% and subsequently prime from 10.50% to 10.75%, broadly in line with our expectations.
 
The latest rate hike was largely in keeping with the South African Reserve Bank’s 25 basis points hike in March.  The hike also followed the 25 basis points in February, in which was also in response to the South African Reserve Bank’s 50 basis points increase in January.
 
The decision to hike interest rates was taken with the view of sustaining the currency peg and thus the need to align Namibia’s interest rates with that of South Africa. 
 
Cognisant of maintaining a healthy rate differential between the two countries, Bank of Namibia was also mindful of the keeping liquidity in the local market and preventing capital outflows, which could have put pressure on the country’s external position.
 
The Bank embarked on its monetary tightening cycle in June 2014 in order to slow growth in instalment credit extended to households.  Since mid-last year growth in instalment credit extended to households has moderated.
 
As a result, future interest rate increases in Namibia will be dictated by the South African Reserve Bank’s rate hiking cycle.
 
Interest rate increases in South Africa have been as a result of the high-risk and volatile environment that have forced the South Africa Reserve Bank to manage the perceived risks to their inflation outlook.
 
The inflation profile for South Africa, and by extension Namibia, has markedly deteriorated, with upward inflationary pressures likely to persist throughout 2016 and early 2017.
 
Inflation is expected to peak at 7.3% in the fourth quarter of this year, down from 7.8%, and to return within the 3%-6% target band at 5.5% during the fourth quarter of next year.
 
South African inflation is expected to breach the Reserve Bank’s target band and remain fairly elevated for a prolonged period of time, peaking at 7.3% in the fourth quarter of this year.  
 
This latest interest rate increase is of course terrible news for the poor Namibian consumer. Consumers with high levels of indebtedness will be hard hit as interest rate go up.  Rising inflation in the country is starting to eat into the consumers’ real disposable income.  Add to the mix, increases to water and electricity tariffs and the outlook for the consumer becomes dire.
 
Going forward, we expect two more interest rate increases this year, taking the repo and prime rates to 7.50% and 11.25% respectively, after which we expect a normalisation in rates and a moderation in the country’s inflation profile in 2017.  Some light at the end of a very long tunnel.

Is a lottery to fund State revenue a good idea?

MEDIA RELEASE
 
COMMENTARY ON HARAMBEE PROSPERITY PLAN
 
By Suta Kavari, Investment Strategist at Capricorn Asset Management 
 
President Hage Geingob yesterday delivered his State of Nation, laying out his poverty fighting action plan, the Harambee Prosperity Plan.
 
The President’s said his marquee offering, the Harambee Prosperity Plan, is aimed at accelerating development in areas were progress has been insufficient.
 
The plan charts the most effective way to address poverty through wealth creation, through growing the economy in a sustainable and inclusive manner.
 
Included in the plan, government aims to build 20,000 houses, services a minimum 26,000 plots and build 50,000 rural toilets by 2017, quite the tight deadline.
 
The President also alluded to improving the efficiencies of state-owned enterprises, unlocking their value and thus relieving a burden on the national fiscus. This might hopefully tie into plans mentioned in the budget of partially list SOE’s on the stock exchange.
 
To combat hunger, a number of plans including emergency relief, improving agricultural productivity and introducing food banks were mentioned and will be implemented.
 
The youth were the biggest winners yesterday, with the President pledging to establish an enterprise development scheme which will provide access to finance and information enterprises for the rural youth to create income-generating opportunities.
 
Government funds, grants and schemes targeted at the youth will be ring-fenced under the Youth Enterprise Development Fund to focus on entrepreneurial youth start-ups with innovative funding mechanisms such as venture capital and collateral-free lending.
 
To fund the Harambee plan, the President promised to widen the tax base and include the informal sector and also investigate establishing a state lottery.
 
The establishment of a state lottery to supplement State revenue and ring-fence income for poverty eradication and social developmental programmes which was alluded to, should be approached with caution.
 
A lottery is essential another form of gambling, it is a regressive tax on the poor. The poor are the most avid buyers of lottery tickets, and a lottery ticket costs disproportionately more to a poor person than it does to a rich person.
 
Instead of taxing the informal sector, plans should be introduced to help incentivise more entrepreneurs. The informal sector, in some parts of the country, offers the young and poor the best opportunity to lift themselves above the poverty line, and provides much needed economic security.
 
So, instead of taxing the kapana stand, that kapana stand owner should be supported an d offered entrepreneurial training, so that he can turn that kapana stand into a ChesaNyama that employs the local unemployed youth.
 
The solidarity tax also got an honourable mention, the payment threshold for solidarity wealth tax will be finalised after consultations. “For the sake of clarity, it will not be N$78,000 per annum” the President added.
 
To achieve the goals set out in the plan, the Investment Promotion Bill and Business and Intellectual Property Authority Act will be expedited and finalised before September and the end of the year, respectively.
 
The Harambee Plan is an ambitious and commendable plan which sets out clear targets and milestone dates. The Harambee Plan together with the NDPs can be used as a vehicle to fast-track our development goals.