RMB Namibia extends N$405 million social loan to Telecom Namibia

By: Hertha Ekandjo

RMB Namibia, a division of First National Bank of Namibia, has extended a N$405 million, seven-year social loan to Telecom Namibia Limited to support the company’s infrastructure upgrade and connectivity expansion plans.

The funding will support Telecom Namibia’s five-year transformation strategy aimed at modernising its network and expanding access to affordable internet services across the country.

In a joint statement the companies noted that, Namibia continues to face gaps in Information and Communication Technology (ICT) infrastructure, with 11 of the country’s 14 regions falling below the national broadband coverage target of 95%.

The country is also ranked 22nd out of 47 in Sub-Saharan Africa and 169th globally in terms of broadband speed, with an average download speed of 10.8 Mbps.

According to the statement, challenges such as legacy copper networks, limited fibre coverage and continued reliance on 2G and 3G technologies have further constrained access to high-speed connectivity.

Furthermore, the loan will fund two key initiatives, including a fibre-to-the-home rollout aimed at delivering broadband speeds of 25 Mbps and above, in line with Namibia’s newly set minimum standard. The rollout is expected to benefit critical sectors such as education, healthcare and public services.

In addition, the funding will support mobile network upgrades through the deployment of new base stations capable of transitioning to 5G, while facilitating the migration from older 2G and 3G systems to 4G technology.