namibia

After the deepest contraction in its recent history recorded during 2020 (-8.0%) due to the pandemic crisis, Namibia's economic performance has been recovering, with GDP growth of 2.7% in 2021 and 3.0% in 2022. The adverse effects of the pandemic on economic activity have diminished, with all COVID-19 related restrictions being lifted in July 2022.

Although at different paces, primary and tertiary industries, which include financial services, tourism, agriculture and the extractive industry, contributed essentially to this recovery. It is important to highlight the role of the substantial increase in production and global demand for commodities such as diamonds, gold and uranium by the main importing markets.

The inflation rate was 3.6% in 2021, 6.4% in 2022 and is expected to be 4.9% in 2023. Inflationary pressures increased as the effects of rising international oil and food prices spilled over into the domestic economy, largely due to spillovers from Russia's war in Ukraine.