African Peer Review Mechanism: An independent preliminary assessment of Namibia March, 2006 OUTLINE • • • • • • Terms of Reference Democracy & Good Political Governance Economic Governance and Management Corporate Governance Socio-economic Development Conclusion Terms of Reference • To assess Namibia’s status against the four APRM focus areas • To review Namibia’s adoption of policies, standards and practices identified by NEPAD. • To provide necessary information to the Namibian government, that might encourage it to participate in the APRM initiative. Method • A combination of desk study and interviews with relevant stakeholders or informed key people in respective sectors. • It was common for interviewees not to want their opinions to be quoted or they were reluctant to offer it altogether in some cases. • Use of evidence from existing reports Democracy & Good Political Governance • Main objective of the APRM • The key to successful economic, corporate and socio-economic governance A Guaranteed Framework of Equal Citizen Rights • Potential as a democratic state • Held four democratic elections • NSHR 2005 Report – improvement in civil & political rights • Delay in decentralisation process Institutions of Representative & Accountable Government • The Public Service Act & Commission • Transparency International Corruption Perception Index – 4.1 in 2004 to 4.3 in 2005 • Anti-Corruption Commission A Vibrant Civil Society • Women in decision making positions at political level – 34.7% • Namibia MDG Report, 2004 – only a third of higher level positions are held by women • Gender Empowerment Measure – 0.572 in 2004 to 0.603 in 2005 • Child Status Bill and the Children Care and Protection Bill • Orphans and Vulnerable Children Program • Government efforts towards vulnerable groups • 90% of persons with disability still unemployed ECONOMIC GOVERNANCE AND MANAGEMENT • Good Economic Governance includes transparency in Financial management • Essential Prerequisite for promoting growth, reducing poverty and enhancing sustainable development Sound Macroeconomic Policies • Inflation rate (11.3% in 2002 to 3.9% in 2004) • Total debt to GDP ratio (31.6% in 2004) • Agricultural (5.3% in 1999 to 4.6% in 2003). Manufacturing (10.4 in 1999 to 11.1 in 2003) • Unemployment – stands at over 30% Sound Management of Public Finances • medium-term fiscal framework (2001) • Medium Term Expenditure Framework - 3-year rolling budget- revenue & exp forecasting • Budget debate • Accessibility of budget documents Fighting Corruption and Money Laundering • N$ 650 (2003) - N$ 11.1 mill.(2004) • Know Your Customer Policy • Financial Intelligence Bill Acceleration of Regional Integration • SADC, SACU & CMA • Namibia is performing in line with SADC macroeconomic targets – SADC inflation rate target for 2012 is set at 5% CORPORATE GOVERNANCE • Good corporate governance provides a level of disclosure and transparency regarding the conduct of corporations and their boards and directors Institutional Players • Commercial enterprises: Public & Private Listed Corporations, State-owned enterprises • Banks & Microfinance institutions • Non-Banking Financial Institutions Ensure that corporations act as good corporate citizens • Addresses the adherence to Labour obligations, social responsibility and matters relating to the environment • Labour Act 15 of 2004 • Safe working environment – NamDeb • Corporate Social Responsibility projects – NamDeb Social Fund & Sanlam Education & Training Adoption of codes of good business ethics • Combating White Collar Crime through the banking Institutions Act • The Media’s involvement in exposing such crimes Accountability of corporations, directors and officers • Disclosure of Information – Generally Accepted Accounting Practice • BoN is trying to enforce information disclosure among banking institutions Socioeconomic Development • Implies the continuous improvement in the wellbeing and standard of living of the people • The Namibian government is committed to the above Self-Sustaining Development • National Development Strategies – NDPs, Poverty Reduction Strategy, Vision 2030 • Strategies formulated through a process of shared visions and national dialogue Accelerating Socio-economic Development • Affirmative Action Policy • Adoption of the Millennium Declaration in 2001 • Universal primary education – 2006 target 95%, 92% enrolled in 2003 • Lack of reliable data on poverty makes it difficult to assess its progress Strengthening Policies, Delivery Mechanisms and Outcomes in key Social Areas • Budgetary allocation to the Ministry of Education continues to increase • Campaigns against HIV/AIDS has increased • National Strategic Plan on HIV/AIDS Affordable Access to Services for All • Water and Sanitation Policy – 1993 • Department of Rural Water Supply in the MAWF • Exploration and Exploitation of energy sources in a sustainable way Broad-based participation in development by all stakeholders • The Agenda for Change allows CSOs to participate in development policy debates • Civil Society Organisations involvement in formulation of National Budget encouraged Conclusion • Namibia has adopted most of the standards and codes required by NEPAD • Various Policies, regulations and institutions are in place to promote the goals of NEPAD • Stable Political environment • Favourable macroeconomic environment Challenges • Ensuring broad-based economic growth while attempting to address historic inequalities • Lack of adequate objective information to assess the impact of policies and frameworks • Implementation of policies and programs Benefits of Acceding to APRM • Positive assessment should Namibia accede to APRM • Positive impact – advertise Namibia to development partners and investors and assist government in strengthening the capacity to implement principles the country has subscribed to
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