Today, I want us to pause from the chaos happening across East Africa and turn our attention to Namibia—my home. Because while many African countries are drowning in debt, negotiating with the IMF, and fighting political storms, Namibia just did something every African should clap for.
Advertisement
We quietly paid off a $750 million Eurobond in one single day.
Yes—in one day.
And as a Namibian, this moment made me incredibly proud.
Of course the biggest question everyone is asking is: How did Namibia manage this when others are still struggling?Before we get to that, let me break down what a Eurobond actually is—because this is a term we hear often, but most people never get the full explanation.
First, What Is a Eurobond?
A Eurobond is simply a loan a country takes from foreign investors.
But instead of borrowing from one bank or one institution, the country sells bonds to many investors across the world.
Here’s how it works:
- The government needs money to build roads, hospitals, infrastructure, or even pay other debts.
- Local taxes cannot cover everything.
- So the government goes to the global market and says:
“We are borrowing $750 million today and will repay it in 10 years with interest.” - Investors—pension funds, banks, wealthy individuals—buy the bond.
- They are basically lending Namibia money and expecting their interest every year.
Despite the name, a Eurobond isn’t from Europe.
“Euro” simply means it is issued in an international currency, like the US dollar.
Namibia’s bond was a US-dollar Eurobond, sold globally in 2015.
Namibia’s 2015 Eurobond: What Actually Happened
In 2015, Namibia borrowed $750 million, with a 10-year repayment period and an interest rate of 5.25%.
Every year, Namibia paid interest to investors.
But here’s where we outdid many other African countries:
We Prepared.
We created a sinking fund—a savings account specifically for repaying the Eurobond.
Every year, money was deposited faithfully, slowly building up the repayment amount.
By the time the debt matured:
- We had already saved $444 million USD.
- The remaining $306 million was raised locally through Namibian banks—Standard Bank Namibia, Bank Windhoek, FNB Namibia, among others.
Instead of rushing back to foreigners to borrow again, we used our own financial system to finish the repayment.
That’s discipline.
That’s sovereignty.
That’s something to clap for.
Our Finance Minister said this repayment showed the world that Namibia is a trustworthy borrower—a nation that pays what it owes without drama, without panic, and without political chaos.
Why Namibia’s Achievement Matters
Paying on time builds confidence.
Foreign investors look at us and say:
“These people keep their word.”
That means if Namibia ever needs to borrow again, we will get better interest rates, easier access to money, and stronger investor trust.
But more importantly, it shows that proper planning works.
And this is where our East African brothers and sisters are struggling.
A Look at Kenya’s Eurobond Crisis
Kenya entered the Eurobond market in 2014 with a massive $2 billion bond.
At the time, it was the largest in Sub-Saharan Africa.
After 2014, Kenya issued more Eurobonds:
- 2018
- 2019
- 2021
- and others
Today Kenya owes around $5.2 billion in Eurobond debt alone.
Their challenges?
- No sinking fund (no savings).
- Heavy reliance on foreign currency for imports.
- A weak and fluctuating currency.
- Low export earnings.
- Refinancing old debt by borrowing new debt.
- Dollar shortage.
- Political noise and lack of transparency.
To pay their first $2 billion maturity in 2024, Kenya had to:
Advertisement
- Use its foreign reserves
- Rely on IMF and World Bank money
- Take a rescue loan from international lenders
They survived but at a huge cost—and more debt.
Namibia vs Kenya: The Real Difference
Namibia:
✔ Saved early
✔ Kept things quiet and professional
✔ Used its own banks
✔ Paid everything at once
✔ Maintained strong investor confidence
Kenya:
✘ Waited until the last minute
✘ Borrowed to repay loans
✘ Relied on emergency funding
✘ Struggled with a weak currency
✘ Faced public questions about missing funds
The contrast highlights a bigger issue across Africa:
We borrow in dollars but earn in weak local currencies.
Without planning, the burden multiplies.
Meanwhile, Namibia earns stable forex from:
- Diamonds
- Uranium
- Beef
- Fish
- Mining
- Tourism
And our financial discipline allowed us to avoid disaster.
A Spotlight on Our President: Dr. Netumbo Nandi-Ndaitwah
Namibia’s fifth President, Dr. Netumbo Nandi-Ndaitwah, is making waves globally.
She became President on 21 March 2024, making her:
- The first woman President of Namibia
- The third female President in Africa
Her CV is impressive:
- Vice President of Namibia
- Deputy Prime Minister
- Minister of International Relations & Cooperation
- Minister of Environment & Tourism
- Minister of Information
- SWAPO veteran
But what matters most right now is her vision for Namibia.
Her Key Goals Include:
- Building a peaceful, inclusive, resilient democracy
- Diversifying the economy beyond only mining
- Increasing value-addition in agriculture
- Reducing youth unemployment
- Strengthening education and skills development
- Fighting corruption through ethical governance
- Ensuring public wealth benefits ordinary citizens
- Positioning Namibia for global opportunities (green hydrogen, renewable energy, mining tech)
What inspires me most is her focus on creating dignity for Namibians.
The Bigger African Lesson: We Need Transparency
Across Africa, governments borrow billions behind closed doors.
Citizens only hear the headlines:
- “IMF Approves Loan”
- “Eurobond Issued”
- “Government Secures Funding”
But nobody tells us where the money goes.
Debt becomes a burden for:
- our taxes
- our fuel prices
- our food costs
- our electricity bills
- our currency
Namibia just proved that borrowing isn’t the problem—poor management is.
Namibia Has Set an Example
We borrowed.
We planned.
We saved.
We paid.
We showed the world that Africa can do big things without corruption, secrecy, or drama.
This is the Africa we want.
A continent with dignity.
A continent that uses its resources wisely.
A continent that stops running to global lenders every year.
Final Thoughts: Does Africa Really Need More Debt?
We say Africa is rich in resources.
If that is true, then why do we borrow so much?
Namibia’s story shows what is possible when leadership, planning, discipline, and transparency align.
As a Namibian, I am proud.
Not just because we paid the money—but because we demonstrated responsibility.
This is the Africa we should build.
Let’s continue celebrating countries doing things right.
Let’s continue demanding transparency.
And let’s continue inspiring a generation of Africans who choose accountability over excuses.