Namibia is on the cusp of entering the lucrative oil and gas sector, but Finance and Public Enterprises Minister, Iipumbu Shiimi, believes the country is not fully prepared to maximize the benefits of this burgeoning industry. Speaking at a recent budget discussion, Shiimi emphasized the importance of developing skilled human resources to work in the oil and gas sector.
During the dialogue, organized by Standard Bank Namibia, the Namibia Chamber of Commerce and Industry (NCCI), Namibia Media Holdings (NMH), and Market Watch, Shiimi urged Namibians to proactively develop their skills and tools to capitalize on the opportunities presented by the emerging petroleum industry. He emphasized that waiting for the benefits of recent oil discoveries to come to them is not the way forward, and encouraged local businesses to start thinking about providing goods and services for this new sector.
In his budget statement, Shiimi highlighted the government’s commitment to investing in human capital development as a key driver for sustainable development and poverty reduction in the long term. This aligns with the sentiments shared by Nangula Uaandja, CEO of the Namibia Investment Promotion and Development Board (NIPDB), who stressed the importance of balancing local content requirements with attracting investments in the oil and gas sector.
Uaandja cautioned that overly stringent local content policies could potentially deter foreign investments if Namibia lacks the necessary local skills and resources to meet these requirements. However, Maggy Shino, the petroleum commissioner in the mines and energy ministry, reassured that there are significant opportunities for Namibians to participate in servicing the exploration sector of the oil and gas industry.
Shino emphasized the need to build local capacity in both the workforce and regulatory institutions to effectively oversee Namibia’s oil and gas industry. She also highlighted the importance of knowledge and skills transfer to ensure sustainable participation of Namibians in the sector. As Namibia gears up for potential oil production, Shino reiterated that local content is mandatory, and the government is committed to providing meaningful opportunities for its people to engage in the industry.
As Namibia navigates its entry into the oil and gas sector, the focus on developing human capital and fostering local participation will be crucial in ensuring the sustainable growth of the industry and the broader economy.
