PERFORMANCE OF THE DEVELOPMENT BANK OF NAMIBIA at IOB
What is PERFORMANCE OF THE DEVELOPMENT BANK OF NAMIBIA?
DBN aims to be profitable and its operating return on average assets was a sound 2.4% in FY20. Due to a low cost of funding (as most liabilities are guaranteed by the state), DBN is able to lend at concessional rates, maintaining a reasonable net interest margin (5.3% in FY20).
An Act to provide for establishment of the Development Bank of Namibia the purpose of which is to contribute to the economic growth and social development of Namibia by providing financing in support of key development activities and to provide for incidental matters.
Frequently Asked Questions
What does Development Bank of Namibia do?
The Development Bank of Namibia Limited (DBN) provides finance for viable enterprises and sustainable initiatives that contribute to the development of Namibia. DBN’s Loan Facilities assist businesses to start or expand their existing business operations.
Is Development Bank of Namibia fulfilling its mandate?
We are delighted to welcome Development Bank of Namibia to further grow our mission.” said Matthew Gamser, CEO of the SME Finance Forum. The Development Bank of Namibia is mandated to contribute to the development of Namibia, and the socio-economic wellbeing of its citizens.
What is the role of Bank of Namibia?
As Namibia’s central bank, we are entrusted with various functions such as: supporting economic growth and development, act as fiscal advisor and banker to Government, promote price stability, manage reserves and currency, ensure sound financial system and conduct economic research.
What are the aims and objectives of African Development Bank?
The overarching objective of the African Development Bank (AfDB) Group is to spur sustainable economic development and social progress in its regional member countries (RMCs), thus contributing to poverty reduction.
What is the role of African Development Bank in the global economy?
The AfDB’s mission is to fight poverty and improve living conditions on the continent through promoting the investment of public and private capital in projects and programs that are likely to contribute to the economic and social development of the region.
What are the roles of development bank?
DBN will play a focal and catalytic role in providing funding and risk-sharing facilities. It will also incentivise financial institutions, predominantly Deposit-Money and Microfinance Banks, by augmenting their capacity and by providing them with funding facilities designed to meet the needs of these smaller clients.
What is the current interest rate in Namibia?
The committee noted the increasing trend in inflation globally and recognized its imminent impact on monetary policy going forward.
What type of bank is Bank of Namibia?
The Bank of Namibia is the central bank of the Republic of Namibia, whose establishment is enshrined in Article 128 of the Namibian Constitution.
What is the meaning of development bank?
Development bank, national or regional financial institution designed to provide medium- and long-term capital for productive investment, often accompanied by technical assistance, in poor countries.
What is the management structure of African Development Bank?
The Board of Directors of the African Development Bank (ADB) comprises 20 members who are neither governors nor alternate governors. Thirteen members are elected by the governors of regional countries and seven by the governors of non-regional member countries.
Who funds the African Development Bank?
The Fund’s resources consist of contributions from internal Bank resources and periodic replenishments by donor countries, usually on a three-year basis. Initial contributions to ADF were pledged in 1972.
What are the three main functions of a bank?
Functions of Commercial Banks: – Primary functions include accepting deposits, granting loans, advances, cash, credit, overdraft and discounting of bills. – Secondary functions include issuing letter of credit, undertaking safe custody of valuables, providing consumer finance, educational loans, etc.
How do development banks make money?
While commercial banks seek to make profits on loans and other financial services, the goal of MDBs is to issue grants and low-cost loans to improve the economic conditions of impoverished or developing nations. MDBs now operate throughout the world and control trillions of dollars in assets.
Why are development banks established?
Development banks are those which have been set up mainly to provide infrastructure facilities for the industrial growth of the country. They provide financial assistance for both public and private sector industries.
How many banks Namibia have?
The Banking Sector in Namibia comprises of eight banking institutions, which can be categorised as follows: seven commercial banking institutions; and a branch of a foreign banking institution. The Bank also oversee the business conduct of a representative office.