The Bank of Namibia Monetary Policy Committee (MPC) is set to make its fifth announcement for 2022 on the interest rate decision today the 26th of October 2022. The Bank of Namibia MPC increased the repo rate by 150 basis points since the beginning of the year 2022 while the South African Reserve Bank increased by 250 basis points. The committee increased the repo rate to 5.50% in their last meeting held in August 2022. The MPC was of the view that the rate will continue safeguarding the peg arrangement and thus anchoring inflation expectations while meeting the country’s international financial obligations. South Africa’s reserve bank increased its repo rate by 75 basis points in their last meeting held in September 2022. The repo rate currently stands at 6.25%. The MPC indicated that the repo rate remained supportive of credit demand in the near term, and they were of the view that hiking the rate will be more consistent with the current view of inflation risks.
Although the Namibian economy showed signs of improvement during the first two quarters of 2022 by recording an average growth of 5.4%, the country’s interest rates have been on an upward trajectory since the beginning of the year (See figure 1 below). Higher-than-expected inflation has pushed major central banks including the Bank of Namibia to accelerate the normalization of monetary policy rates, tightening global financial conditions and soaring risk profiles of economies needing foreign capital. There remains an upside inflationary outlook risk, augmented by global commodities prices which could surprise again on the upside given the high uncertainty about the impact of the war in Ukraine, the continuous decline in OPEC+ countries’ production output, and the global recession concerns.
Our outlook is that the MPC could increase the repo rate by 75 basis points following South Africa’s path. The decision will continue to contain the elevated global and domestic inflationary pressures, and the fragile economic recovery and maintain the need to safeguard the currency peg while meeting the country’s international financial obligations.
Figure 1: Repo Rates and Inflation Rates, Namibia vs. South Africa (January- September 2022)
Source: BON, SA Reserve Bank, NSA, STATS SA & HEI Research
A total of N$ 126,010,418.42 worth of shares was traded on the NSX on Monday with about N$ 339,373 worth of Anglo-American and N$ 77,655,268 worth of Namibia Breweries on the home front. No ETFs were traded on Monday
HEI Market Commentary
From the trading activity that took place:
Anglo-American shares were subscribed by market participants resulting in share price to soar at closing
Shares belonging to Namibia Breweries were sold off by private investors resulting in a decline in share price at closing
Name
NSX Local Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Namibian Breweries
NBS
47.00
46.00
-2.10%
Nictus Holdings
NHL
1.75
1.75
0.00%
Capricorn
CGP
13.00
13.00
0.00%
First Rand Namibia
FNB
30.62
30.62
0.00%
Standard Bank Namibia
SNO
4.40
4.40
0.00%
Oryx Limited
ORY
10.26
10.26
0.00%
Letshego
LHN
2.68
2.68
0.00%
Namibia Asset Management
NAM
0.68
0.68
0.00%
Stimulus
SILP
127.90
127.90
0.00%
Paratus Namibia Holdings Ltd
PNH
12.99
12.99
0.00%
Mobile Telecommunication Company
MOC
7.01
7.01
0.00%
Alpha Namibia Industries Renewable Power Limited
ANE
9.00
9.00
0.00%
Table 2: Primary listed Trades
Name
South African Dual-Listed Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Anglo-American plc
ANM
553.20
559.00
1.05%
B2Gold Corporation
B2G
54.26
56.49
4.11%
Oceana Group Limited
OCG
53.37
53.81
0.82%
Mediclinic International Plc
MEP
100.60
103.01
2.40%
Truworths
TRW
51.53
51.87
0.66%
Nedbank Group Limited
NBK
206.78
207.85
0.52%
Standard Bank Group
SNB
165.93
166.34
0.25%
Shoprite Holdings
SRH
221.75
224.64
1.30%
FirstRand Limited
FST
61.85
62.24
0.63%
Momentum Metropolitan Holdings
MMT
15.92
16.63
4.46%
Old Mutual Ltd
OMM
10.03
10.01
-0.20%
Sanlam Limited
SLA
51.15
51.51
0.70%
Santam Limited
SNM
251.64
251.17
-0.19%
Vukile Property Fund Limited
VKN
13.35
13.50
1.12%
Investec Limited
IVD
84.33
87.37
3.60%
PSG Konsult Limited
KFS
10.94
11.00
0.55%
Table 3: Dual-Listed Trades
Name
ETFs
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
New Gold Issuer Ltd NM
NGNGLD
279.14
283.37
1.52%
New Gold Palladium ETF
NGNPLD
352.54
355.50
0.84%
New Gold Platinum ETF N
NGNPLT
160.58
164.87
2.67%
New Funds S&P NAM Bond
NFNAMA
17.14
17.07
-0.41%
Table 4: ETFs
Exchange Rates @ 08:00
USD/NAD
18.44
EUR/NAD
18.20
GBP/NAD
20.80
EUR/GBP
0.87
EUR/USD
0.98
GBP/USD
1.12
AUD/USD
0.63
USD/JPY
148.89
Commodities @ 08:00
Gold
1,660.25
Silver
19.27
Platinum
928.95
Palladium
2,037.53
WTI
84.78
Brent
91.44
Table 5: Exchange Rates and Commodities
Local News
Troubled national carrier TransNamib has since June issued numerous letters of demand to non-paying tenants for more than N$20 million in outstanding rent, the company’s spokesperson said (Sun Newspaper)
After two years of Covid-19 pandemic disruptions, Namib Desert Diamonds (Namdia) navigated the negative impact as it performed well during the 2021/22 financial year (New Era Newspaper)
Minister of Finance Iipumbui Shiimi will table the budget 2022/23 midterm budget review in parliament this afternoon. (The Namibian)
Sub-Sahara News
Union Solidarity plans to take legal action against Dis-Chem in the Labour Court, because it believes the company overstepped by imposing an "absolute barrier" when it came to staff hires. (News24)
Rishi Sunak will be named the U.K.‘s new prime minister, following a fast-tracked Conservative Party leadership race initiated to fill the void left by Liz Truss’ resignation. (CNBC Africa)
The Court of Appeal in Abuja on Monday rejected the Nigerian government's application for adjournment of a hearing relating to the judgment freeing Nnamdi Kanu from detention. A three-member panel of the Court of Appeal led by Oludotun Adefope-Okojie had on 13 October dismissed the terrorism and treasonable felony charges against the leader of the proscribed Indigenous People of Biafra (IPOB) (All Africa News)
International News
Tightening markets for liquefied natural gas (LNG) worldwide and major oil producers cutting supply have put the world in the middle of "the first truly global energy crisis", the head of the International Energy Agency (IEA) said on Tuesday. (Reuters)
Asian stocks ended broadly higher on Tuesday, although Chinese markets slipped after the country delayed the release of its latest economic growth figures along with other key economic indicators amid the weeklong 20th Communist Party National Congress. (RTT News)
Western countries have accused Russia of plotting to use a threat of a dirty bomb laced with nuclear material as a pretext for escalation in Ukraine as Moscow evacuated civilians from a southern city in anticipation of a major battle. (Aljazeera News)
A total of N$ 21,431,285.80 worth of shares was traded on the NSX on Friday with about N$ 1,509,906 worth of Anglo-American and N$ 68,213 worth of Namibia Breweries on the home front. ETFs worth N$ 112,357.00 were traded on Friday
HEI Market Commentary
From the trading activity that took place:
Anglo-American shares were traded with a decline at closing as the market displayed mixed feelings, amid the new Chinese leadership, the Fed expectations, and the Fear & Greed Index indicated signs of fear in the global economy.
Shares belonging to Namibia Breweries were traded on the local bourse, resulting in a 4.44% increase at closing
New Gold Platinum ETF N was traded resulting in a slight decline at closing
Name
NSX Local Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Namibian Breweries
NBS
45.00
47.00
4.44%
Nictus Holdings
NHL
1.75
1.75
0.00%
Capricorn
CGP
13.00
13.00
0.00%
First Rand Namibia
FNB
30.62
30.62
0.00%
Standard Bank Namibia
SNO
4.40
4.40
0.00%
Oryx Limited
ORY
10.26
10.26
0.00%
Letshego
LHN
2.68
2.68
0.00%
Namibia Asset Management
NAM
0.68
0.68
0.00%
Stimulus
SILP
127.90
127.90
0.00%
Paratus Namibia Holdings Ltd
PNH
12.99
12.99
0.00%
Mobile Telecommunication Company
MOC
7.01
7.01
0.00%
Alpha Namibia Industries Renewable Power Limited
ANE
9.00
9.00
0.00%
Table 2: Primary listed Trades
Name
South African Dual-Listed Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Anglo-American plc
ANM
544.25
553.20
1.64%
B2Gold Corporation
B2G
53.45
54.26
1.52%
Oceana Group Limited
OCG
52.50
53.37
1.66%
Mediclinic International Plc
MEP
101.32
100.60
-0.71%
Truworths
TRW
52.24
51.53
-1.36%
Nedbank Group Limited
NBK
207.47
206.78
-0.33%
Standard Bank Group
SNB
165.22
165.93
0.43%
Shoprite Holdings
SRH
224.15
221.75
-1.07%
FirstRand Limited
FST
62.15
61.85
-0.48%
Momentum Metropolitan Holdings
MMT
16.34
15.92
-2.57%
Old Mutual Ltd
OMM
10.14
10.03
-1.08%
Sanlam Limited
SLA
51.74
51.15
-1.14%
Santam Limited
SNM
256.59
251.64
-1.93%
Vukile Property Fund Limited
VKN
13.70
13.35
-2.55%
Investec Limited
IVD
83.65
84.33
0.81%
PSG Konsult Limited
KFS
11.04
10.94
-0.91%
Table 3: Dual-Listed Trades
Name
ETFs
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
New Gold Issuer Ltd NM
NGNGLD
278.80
279.14
0.12%
New Gold Palladium ETF
NGNPLD
366.06
352.54
-3.69%
New Gold Platinum ETF N
NGNPLT
160.91
160.58
-0.21%
New Funds S&P NAM Bond
NFNAMA
17.14
17.14
0.00%
Table 4: ETFs
Exchange Rates @ 08:00
USD/NAD
18.14
EUR/NAD
17.88
GBP/NAD
20.64
EUR/GBP
0.86
EUR/USD
0.98
GBP/USD
1.13
AUD/USD
0.63
USD/JPY
148.95
Commodities @ 08:00
Gold
1,624.90
Silver
19.31
Platinum
944.55
Palladium
2,036.03
WTI
84.29
Brent
90.61
Table 5: Exchange Rates and Commodities
Local News
The Capricorn Foundation has pledged N$500,000 towards the Project BeFree Centre of Excellence at the One Economy Fundraiser gala dinner (Sun Newspaper)
Sperrgebiet Diamond Mining (Pty) (SDM) this week confirmed a majority equity investment by Global Emerging Markets Group (GEM) (New Era Newspaper)
The Australian mining company, Noronex Limited, exploring for copper around the Witvlei area in the Omaheke region (The Namibian)
Sub-Sahara News
Transnet is a company in trouble and it is time to sound the alarm. It has lost skills and capacity and has been hit by a succession of problems, some beyond its control. The parallels with Eskom are alarming: falling capacity, deferred maintenance, substantial debt, and constraints on cash flow. (News24)
South Africa’s plan to kick-start its transition from coal to renewable energy will need $46.5 billion, more than five times the $8.5 billion Western nations have pledged to the project over the next three to five years, (CNBC Africa)
The US and UK governments have warned their citizens of possible terror attacks in Nigeria, particularly in the capital, Abuja.. (All Africa News)
International News
Russia fired missiles and drones into the Ukrainian-held southern town of Mykolaiv, destroying an apartment block, and said the war was trending towards "uncontrolled escalation" in a flurry of telephone calls to Western defense ministers. (Reuters)
Asian stocks ended mixed on Monday after reports suggested that Apple has put on hold plans to use memory chips from China's Yangtze Memory Technologies Co. in its products. (RTT News)
North and South Korea have exchanged warning shots off their western coast, accusing each other of breaching their maritime border amid heightened tensions over Pyongyang’s weapons tests. (Aljazeera News)
A total of N$ 8,071,278.45 worth of shares was traded on the NSX on Thursday with about N$ 695,575 worth of Anglo-American and N$ 410,445 worth of Namibia Breweries on the home front. ETFs worth N$ 391,575.25 were traded on Thursday
HEI Market Commentary
From the trading activity that took place:
Anglo-American shares were traded with no change in share price at closing
Shares belonging to Namibia Breweries were traded on the local bourse, with no change in share price
New Gold Platinum ETF N was traded resulting in an increase in share price.
Name
NSX Local Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Namibian Breweries
NBS
45.00
45.00
0.00%
Nictus Holdings
NHL
1.75
1.75
0.00%
Capricorn
CGP
13.00
13.00
0.00%
First Rand Namibia
FNB
30.62
30.62
0.00%
Standard Bank Namibia
SNO
4.40
4.40
0.00%
Oryx Limited
ORY
10.26
10.26
0.00%
Letshego
LHN
2.68
2.68
0.00%
Namibia Asset Management
NAM
0.68
0.68
0.00%
Stimulus
SILP
127.90
127.90
0.00%
Paratus Namibia Holdings Ltd
PNH
12.99
12.99
0.00%
Mobile Telecommunication Company
MOC
7.01
7.01
0.00%
Alpha Namibia Industries Renewable Power Limited
ANE
9.00
9.00
0.00%
Table 2: Primary listed Trades
Name
South African Dual-Listed Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Anglo-American plc
ANM
541.34
544.25
0.54%
B2Gold Corporation
B2G
54.29
53.45
-1.55%
Oceana Group Limited
OCG
54.55
52.50
-3.76%
Mediclinic International Plc
MEP
101.49
101.32
-0.17%
Truworths
TRW
52.81
52.24
-1.08%
Nedbank Group Limited
NBK
208.56
207.47
-0.52%
Standard Bank Group
SNB
163.26
165.22
1.20%
Shoprite Holdings
SRH
226.20
224.15
-0.91%
FirstRand Limited
FST
62.64
62.15
-0.78%
Momentum Metropolitan Holdings
MMT
16.02
16.34
2.00%
Old Mutual Ltd
OMM
10.11
10.14
0.30%
Sanlam Limited
SLA
51.99
51.74
-0.48%
Santam Limited
SNM
255.35
256.59
0.49%
Vukile Property Fund Limited
VKN
13.81
13.70
-0.80%
Investec Limited
IVD
83.27
83.65
0.46%
PSG Konsult Limited
KFS
10.79
11.04
2.32%
Table 3: Dual-Listed Trades
Name
ETFs
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
New Gold Issuer Ltd NM
NGNGLD
278.08
278.80
0.26%
New Gold Palladium ETF
NGNPLD
351.75
366.06
4.07%
New Gold Platinum ETF N
NGNPLT
157.46
160.91
2.19%
New Funds S&P NAM Bond
NFNAMA
17.18
17.14
-0.23%
Table 4: ETFs
Exchange Rates @ 08:00
USD/NAD
18.33
EUR/NAD
17.91
GBP/NAD
20.50
EUR/GBP
0.87
EUR/USD
0.97
GBP/USD
1.12
AUD/USD
0.62
USD/JPY
150.31
Commodities @ 08:00
Gold
1,625.05
Silver
18.47
Platinum
910.05
Palladium
2,051.50
WTI
84.52
Brent
92.41
Table 5: Exchange Rates and Commodities
Local News
The environment ministry has, throughout the last six months, updated, aligned, and developed several key national documents to boost the country’s efforts against climate change and mobilize the necessary funding to do so (Sun Newspaper)
Sperrgebiet Diamond Mining (Pty) (SDM) this week confirmed a majority equity investment by Global Emerging Markets Group (GEM) (New Era Newspaper)
The ministry of mines and energy Tom Alweendo says they do not investigate people who no longer work at the ministry, amid concerns that officials are enriching themselves before (The Namibian)
Sub-Sahara News
Eskom chairman Mpho Makwana says he is in no rush to fire executives but the bigger question will be whether he and CEO Andre de Ruyter have positive chemistry. (News24)
U.K. Prime Minister Liz Truss resigned Thursday following a failed tax-cutting budget that rocked financial markets and which led to a revolt within her own Conservative Party. (CNBC Africa)
Africa has the natural resources and the policies required to tackle poverty and hunger - but these policies are not effectively implemented. Noting the impact of Russia's invasion of Ukraine on the continent's food systems and the innovations introduced to respond to the COVID-19 pandemic, SIFISO NTOMBELA provides practical measures to improve food security, also arguing that exporting food can be a source of economic strength. (All Africa News)
International News
The United States has said Iranian military trainers were in Crimea helping Russian forces operate Iranian-made drones to attack targets in Ukraine, adding an alarming strand to a war that has heightened geopolitical tensions. (Reuters)
European stocks rose on Friday to extend gains from the previous session amid hopes that U.S. inflation may have peaked around 8 percent and would trend lower in the coming months (RTT News)
European Union leaders have failed to reach an agreement on a plan to help protect their citizens from surging energy prices, despite hours of wrangling at a summit in Brussels. (Aljazeera News)
A total of N$ 21,510,902.17 worth of shares was traded on the NSX on Wednesday with about N$ 11,012,522 worth of Anglo-American and N$ 45,000 worth of Namibia Breweries on the home front. ETFs worth N$ 570,538.06 were traded on Wednesday
HEI Market Commentary
From the trading activity that took place:
Anglo-American shares were traded with no change in share price at closing
Shares belonging to Namibia Breweries were traded on the local bourse, with no change in share price
New Gold Platinum ETF N and New Gold Issuer Ltd NM ETF were traded resulting in a decline at closing.
Name
NSX Local Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Namibian Breweries
NBS
45.00
45.00
0.00%
Nictus Holdings
NHL
1.75
1.75
0.00%
Capricorn
CGP
13.00
13.00
0.00%
First Rand Namibia
FNB
30.62
30.62
0.00%
Standard Bank Namibia
SNO
4.40
4.40
0.00%
Oryx Limited
ORY
10.26
10.26
0.00%
Letshego
LHN
2.68
2.68
0.00%
Namibia Asset Management
NAM
0.68
0.68
0.00%
Stimulus
SILP
127.90
127.90
0.00%
Paratus Namibia Holdings Ltd
PNH
12.99
12.99
0.00%
Mobile Telecommunication Company
MOC
7.01
7.01
0.00%
Alpha Namibia Industries Renewable Power Limited
ANE
9.00
9.00
0.00%
Table 2: Primary listed Trades
Name
South African Dual-Listed Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Anglo-American plc
ANM
548.94
541.34
-1.38%
B2Gold Corporation
B2G
53.53
54.29
1.42%
Oceana Group Limited
OCG
55.06
54.55
-0.93%
Mediclinic International Plc
MEP
101.30
101.49
0.19%
Truworths
TRW
53.60
52.81
-1.47%
Nedbank Group Limited
NBK
203.18
208.56
2.65%
Standard Bank Group
SNB
151.98
163.26
7.42%
Shoprite Holdings
SRH
225.35
226.20
0.38%
FirstRand Limited
FST
60.93
62.64
2.81%
Momentum Metropolitan Holdings
MMT
16.07
16.02
-0.31%
Old Mutual Ltd
OMM
10.08
10.11
0.30%
Sanlam Limited
SLA
51.48
51.99
0.99%
Santam Limited
SNM
254.44
255.35
0.36%
Vukile Property Fund Limited
VKN
13.63
13.81
1.32%
Investec Limited
IVD
83.09
83.27
0.22%
PSG Konsult Limited
KFS
10.79
10.79
0.00%
Table 3: Dual-Listed Trades
Name
ETFs
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
New Gold Issuer Ltd NM
NGNGLD
279.26
278.08
-0.42%
New Gold Palladium ETF
NGNPLD
355.51
351.75
-1.06%
New Gold Platinum ETF N
NGNPLT
160.44
157.46
-1.86%
New Funds S&P NAM Bond
NFNAMA
17.18
17.18
0.00%
Table 4: ETFs
Exchange Rates @ 08:00
USD/NAD
18.30
EUR/NAD
17.91
GBP/NAD
20.53
EUR/GBP
0.87
EUR/USD
0.97
GBP/USD
1.12
AUD/USD
0.62
USD/JPY
149.95
Commodities @ 08:00
Gold
1,647.55
Silver
18.56
Platinum
896.55
Palladium
2,019.03
WTI
85.66
Brent
93.19
Table 5: Exchange Rates and Commodities
Local News
The Agricultural Bank of Namibia (Agribank) loan book for the Otjozondjupa Region stands at over N$1.1 billion (Sun Newspaper)
The largest grain processor in the country, Namib Mills, this week denied mismanaging its workers’ pension funds (New Era Newspaper)
A N$110 million project will develop Africa’s first two dual-fuel hydrogen-diesel locomotives for TransNamib. (The Namibian)
Sub-Sahara News
The company that owns Markus Jooste's Hermanus mansion took out an R75 million mortgage with a trust in the name of one of the founders of Tekkie Town last year, documents show. (News24)
Africa must build oil and gas pipelines, liquefied natural gas (LNG) terminals, distribution hubs, and gas-fired power plants over the next 20 years to unlock its energy market of over 600 million people, officials, executives, and analysts say. (CNBC Africa)
Eskom has announced that the breakdown of four units - two at Kendal and one each at Kriel and at Arnot power stations has forced it to continue with Stage 3 load shedding, which was supposed to have been suspended for the day at 5 am today. Meanwhile, the utility has reported that internal investigations, with the assistance of the Hawks, led to the arrest of an employee at the Tutuka power station on October 17, 2022, for the removal of ten drums of hydraulic oil worth R800,000 from the on-site stores' facility. (All Africa News)
International News
Chinese President Xi Jinping would become a "sinner" of all Chinese people if he attacked Taiwan and would not win a war as he would face international sanctions and diplomatic isolation, Taiwan's top security official said on Thursday. (Reuters)
European stocks traded mixed on Thursday amid concerns over a turbulent U.K. bond market and news of more Russian missile strikes on Ukrainian towns (RTT News)
US President Joe Biden has called on Americans concerned with reproductive rights to voting for Democrats in midterm elections, promising to push a bill in Congress that would protect the right to abortion nationwide if his party wins next month. (Aljazeera News)
New vehicle sales declined to 1018 vehicles for September 2022 from 1051 vehicles sold in August 2022. See figure 1.
The drop in new vehicle sales for September 2022 was mainly driven by low sales of light commercial vehicles and passenger vehicles
New light commercial vehicle sales declined by 4% in relation to vehicles sold in August 2022
Passenger vehicles sales declined by 3% when compared to August 2022
A total of 10899 vehicles were sold between September 2021 and September 2022 an improvement from 10045 vehicles sold between September 2020 and September 2021
Analysis
On an annual basis, new vehicle sales increased by 32.7% (See figure 2). This could have been influenced by an upturn in demand as consumer confidence is slowly returning to pre-pandemic levels
Light commercial vehicle sales declined to 448 from 465 vehicles in September 2022. This could have been attributed to poor performance in light commercial activities
Passenger vehicle sales decreased to 505 from 519. The decline could have resulted from a lack of consumer confidence to take up credit to purchase new vehicles due to the high cost of borrowing
Extra heavy commercial vehicle sales declined to 28 from 33 vehicles sold in August 2022 as a consequence of low demand for heavy transportation services
The current monetary policy tightening has negatively influenced the demand for credit for both households and businesses. With banks having turned cautious over their vehicle financing, we expect new vehicle sales momentum for October 2022 to drop further.
A total of N$ 6,223,980.27 worth of shares was traded on the NSX on Tuesday with about N$ 304,155 worth of Namibia Breweries and N$ 221,000 worth of Capricorn Group on the home front. No ETFs were traded on Tuesday.
HEI Market Commentary
From the trading activity that took place:
Namibia Breweries’ shares were traded with no change in share price at closing
Shares belonging to Capricorn Group were traded on the local bourse, with no change in share price
Name
NSX Local Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Namibian Breweries
NBS
45.00
45.00
0.00%
Nictus Holdings
NHL
1.75
1.75
0.00%
Capricorn
CGP
13.00
13.00
0.00%
First Rand Namibia
FNB
30.62
30.62
0.00%
Standard Bank Namibia
SNO
4.40
4.40
0.00%
Oryx Limited
ORY
10.26
10.26
0.00%
Letshego
LHN
2.68
2.68
0.00%
Namibia Asset Management
NAM
0.68
0.68
0.00%
Stimulus
SILP
127.90
127.90
0.00%
Paratus Namibia Holdings Ltd
PNH
12.99
12.99
0.00%
Mobile Telecommunication Company
MOC
7.01
7.01
0.00%
Alpha Namibia Industries Renewable Power Limited
ANE
9.00
9.00
0.00%
Table 2: Primary listed Trades
Name
South African Dual-Listed Ticker
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
Anglo-American plc
ANM
550.72
548.94
-0.32%
B2Gold Corporation
B2G
53.46
53.53
0.13%
Oceana Group Limited
OCG
54.92
55.06
0.25%
Mediclinic International Plc
MEP
101.71
101.30
-0.40%
Truworths
TRW
53.42
53.60
0.34%
Nedbank Group Limited
NBK
204.41
203.18
-0.60%
Standard Bank Group
SNB
152.53
151.98
-0.36%
Shoprite Holdings
SRH
226.00
225.35
-0.29%
FirstRand Limited
FST
60.51
60.93
0.69%
Momentum Metropolitan Holdings
MMT
15.85
16.07
1.39%
Old Mutual Ltd
OMM
10.07
10.08
0.10%
Sanlam Limited
SLA
51.74
51.48
-0.50%
Santam Limited
SNM
258.00
254.44
-1.38%
Vukile Property Fund Limited
VKN
13.64
13.63
-0.07%
Investec Limited
IVD
83.64
83.09
-0.66%
PSG Konsult Limited
KFS
10.80
10.79
-0.09%
Table 3: Dual-Listed Trades
Name
ETFs
Price Previous Close 'N$
Price End of Day 'N$
Daily Change %
New Gold Issuer Ltd NM
NGNGLD
279.74
279.26
-0.17%
New Gold Palladium ETF
NGNPLD
350.74
355.51
1.36%
New Gold Platinum ETF N
NGNPLT
159.68
160.44
0.48%
New Funds S&P NAM Bond
NFNAMA
17.20
17.18
-0.12%
Table 4: ETFs
Exchange Rates @ 08:00
USD/NAD
18.15
EUR/NAD
17.86
GBP/NAD
20.52
EUR/GBP
0.87
EUR/USD
0.98
GBP/USD
1.12
AUD/USD
0.62
USD/JPY
149.37
Commodities @ 08:00
Gold
1,647.30
Silver
18.58
Platinum
893.60
Palladium
2,017.50
WTI
82.61
Brent
90.19
Table 5: Exchange Rates and Commodities
Local News
G4S Namibia workers are up in arms over what they term a “measly” N$ 2,400.00 salary with no danger allowance or medical aid. (Sun Newspaper)
B2Gold Namibia yesterday confirmed the labor dispute at the country’s largest gold mine, the Otjikoto mine, has ended with approximately 160 suspended employees returning for duty with a warning (New Era Newspaper)
The Namibia Revenue Agency (Namra) is shining the spotlight on directors of government and private sector entities who fail to pay taxes on board fees and allowances they receive (The Namibian)
Sub-Sahara News
Former Steinhoff chairperson Christo Wiese has praised the SA Reserve Bank for attaching around R1.4 billion in assets linked to the retailer's ex-CEO Markus Jooste, saying that "a lot of people will be grateful to see that the wheels of justice are turning". (News24)
Kenya plans to use cheaper loans from agencies such as the World Bank to allow it to retire expensive domestic loans and create funds for much-needed spending on items like food, the nominee to the post of finance minister said on Tuesday. (CNBC Africa)
The number of people living in poverty in sub-Saharan Africa has overtaken that in South Asia, says a new study. Nearly 579 million Africans live in what the study calls "acute multidimensional poverty". (All Africa News)
International News
German exports to Britain this year could grow for the first time since 2015 if the upward trend seen from January to August continues through 2022, statistics office data showed. (Reuters)
Asian stocks ended mixed on Wednesday after a recent string of losses on worries about slowing global growth and the impact of rising interest rates on corporate profits. The dollar index rose after the IMF's warning of a severe global recession (RTT News)
UN Secretary-General Antonio Guterres said on Monday that he believed such action was necessary to ease the grip gangs have on a port that is critical to allowing fuel supplies into the country. (Aljazeera News)
The City of Windhoek approved a total of 264 building plans valued at N$ 150,821,972 in September 2022. See figure 1
Out of 264 building plans approved, 169 were additions plans, 62 were house plans, 21 were wall plans, 6 were commercial plans, and 6 were pool plans
The number of building plans approved increased by 8% in relation to the previous month. See Figure 2
During the month under review, a total number of 88 buildings were completed for Windhoek at the value of N$ 107,571,936
The total buildings completed increased by 3.5% when compared to the buildings completed in August 2022
Analysis
On an annual basis, the number of building plans approved for Windhoek increased by 79.6%
Total building plans approved and completed increased for September 2022 amidst rising interest rates and commodity prices
For the month under review, the highest number of building plans approved were from Windhoek suburbs with a total of 59 plans (32 addition plans, 18 house plans, 4 commercial plans, 4 wall plans, and 1 pool plan) valued at N$ 43,819,137
Klein Windhoek had the second-highest number of building plans approved with a total of 29 plans valued at N$ 8,685,000
Figure 1: Monthly Building Plans Approved Vs. Buildings Completed, Windhoek (September 2021- September 2022)
Source: CoW & HEI RESEARCH
Figure 2: Building Plans Approved Monthly % Growth Rates, Windhoek (September 2021- September 2022)
Source: CoW & HEI RESEARCH
Outlook
The poor economic performance of the construction sector reflected in the second quarter of 2022 indicates that construction activities are under pressure. This can be attributed to a decrease in real government expenditure for the sector
We project the construction sector to remain under pressure in the short to medium term.
The annual inflation rate increased to 7.1% for August 2022 from 3.5% recorded during the same period last year. See figure 1
The annual inflation rate averaged 5.8% from January to September 2022 compared to an average of 3.5% recorded during the same period last year. This was mainly derived from the transport inflation category which emanated from high and volatile international crude oil prices in 2022
The main drivers of an increase in the annual inflation rate were transport, hotels, cafes and restaurants, furnishings household equipment, and routine maintenance of the house and food alcoholic beverages, and tobacco. See figure 2
On a monthly basis, inflation increased by 0.1% influenced by the price levels changes in transport (from 0.2% to -1.6%); housing, water, electricity, gas and other fuels (from 0.3% to 0.1%); recreation and culture (from 0.7% to 0.3%) and food and non-alcoholic beverages (from 0.8% to 0.6%)
Analysis
The annual inflation rate for the transport category increased to 19.5% from 7.5% recorded during the same period last year. This was mainly influenced by an increase in the prices of fuel (petrol and diesel) driven by an increase in oil prices globally and an increase in the cost of public transportation services
An increase in the annual inflation rate for hotels, cafes, and restaurants from 0.2% to 11.0% was driven by an upturn in demand for accommodation services due to a rebound in tourism-related activities
The annual inflation rate for furnishings household equipment and routine maintenance of the house increased to 9.4% from 4.8%. This was due to an increase in the price levels of goods and services for routine household maintenance and heating and cooking appliances, refrigerators, washing machines, and similar major household appliances
Food and non-alcoholic beverages and tobacco which accounts for 16.5% of the inflation basket recorded an increase in the annual inflation rate of 9.3% from 5.0% recorded during the same period last year. This came as a consequence of an increase in the price levels of bread and cereals, fruits and oils, and fats
The communications category recorded deflation of - 0.3% for September 2022 declining from 0.9% recorded in September 2021. This could have been influenced by face-to-face engagement after the removal of the Covid-19 restrictions
Figure 1: Annual Inflation rate, Namibia
Source: NSA & HEI RESEARCH
Figure 2: Sub-Categorical analysis Year on Year %, Namibia
Source: NSA & HEI RESEARCH
Outlook
Announcements made by Namibia Breweries Limited on an increase in the price levels of alcoholic and non-alcoholic beverages and OPEC production out cuts will propel the transport and alcoholic beverages components of inflation and in turn annual inflation rate for October 2022
We anticipate that the annual inflation rate for October will remain on an upward trend.
We anticipate that the inflation will remain higher for longer.
