Executive summary
- New vehicle sales increased to 1045 vehicles for November 2022 from vehicles sold in October 2022. This reflects a 4.9% monthly increment. See figure 1.
- An increase in new vehicle sales was mainly driven by high sales of passenger vehicles sales and medium commercial vehicles
- Passenger vehicles sales increased by 13.9% when compared to October 2022
- New heavy commercial vehicles declined by 33.3% for November 2022
- A total of 11459 vehicles were sold between November 2021 and November 2022 an improvement from 10078 vehicles sold between November 2020 and November 2021
Analysis
- On an annual basis new vehicle sales increased by 38.9%, (See figure 2). This could be influenced by an increase in demand as consumer confidence improves significantly
- Passenger vehicle sales increased to 531 from 466. This could be influenced by improvements in income levels that consequently resulted in a better credit score. This has enabled consumers to take up credit to purchase new vehicles
- Heavy commercial vehicle sales declined to 8 from 12 vehicles sold for October 2022. This could have been attributed to poor performance in commercial activities
Figure 1: Monthly Vehicle Sales (November 2021 – November 2022), Namibia
Figure 2: Year on Year, Vehicle sales growth (November 2021- November 2022), Namibia
Outlook
- The current monetary policy tightening negatively influences the demand for credit for both households and businesses. This determines the overall confidence to borrow money to purchase new vehicles in the short to medium term. We expect new vehicle sales for December to drop.