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The Bank of Namibia (BoN) published a consultation paper on central bank digital currency (CBDC). It notes that its degrees of freedom is likely to be influenced by Namibia's Common Monetary Area (CMA) membership, with the South African Rand co-circulating alongside the Namibia Dollar as legal tender in Namibia. The options open to Rand holders are likely to also impact the options that the BoN would give Namibia Dollar holders. Hence, the CBDC direction taken by South African Reserve Bank is likely to have an impact on the BoN's decisions in this regard. Consultations and collaborations between the CMA member countries are being held to push for and develop as far as possible, a common view and approach on CBDCs that will serve all the CMA countries optimally.

The IMF published a high-level report on central bank digital currency (CBDC) technical assistance (TA) provided to the Bank of Namibia (BoN) in early 2024. The mission assisted the authorities in establishing the groundwork for a feasibility study and drafting a roadmap for the BoN's CBDC exploration. The mission also reviewed requirements for retail CBDC issuance, including institutional capacity, technology, cybersecurity, and legal foundations. The mission recommended the BoN assess how retail CBDC can improve the payment systems and financial inclusion in Namibia compared to alternative solutions. The authorities are advised to establish a compelling rationale for retail CBDC before embarking on a more resource-intensive undertaking. The mission suggested that the BoN continue developing expertise and capacity in retail CBDC across policy, technology, and legal domains, including through continued engagement with stakeholders.

The Bank of Namibia posted a call for expressions of interest for the supply and implementation of an instant payment solution for financial inclusion in Namibia (closing date August 11, 2023).

The Bank of Namibia is exploring issuing a Namibia Dollar central bank digital currency (CBDC), and will reportedly soon publish a public consultation paper on the topic. The main motivation would be to "ensure that individuals operating in an increasingly digitalized economy continue to have access to central bank money".

Bank of Namibia (BON) launched its Instant Payment Project, with a targeted launch year of 2025. It will be focusing specifically on enhancing financial services in rural areas and the informal sector, thereby reducing cash dependency, and increasing transactional efficiency. Designed for inclusivity, the platform will be accessible on any device, including non-smartphones, ensuring that everyone can use it effortlessly. And according to Finextra, BON will partner with NPCI International Payments, the firm behind India's Unified payments Interface (UPI). https://www.finextra.com/newsarticle/44088/namibia-signs-on-for-indias-upi-tech

Namibia's President Hage Geingob officially signed into law the Namibia Virtual Assets Act 2023 which covers the regulation of digital assets, cryptocurrencies and virtual asset service providers (VASPs) in the country. It establishes a framework for licensing and regulating VASPs, and appoints a regulatory authority responsible for supervising these providers and their activities. The Finance Ministry will determine the operative date for the law. http://www.lac.org.na/laws/2023/8143.pdf

According to its 2022-24 Strategic Plan, the Bank of Namibia will be assessing the viability of central bank digital currency (CBDC). This is part of a plan to automate, modernize and facilitate efficiency utilizing technology. The central bank also plans to set up an innovation hub to provide a conducive environment for the incubation of new fintech concepts without stifling start-ups and innovators, but doing so in a regulatorily responsible manner.

On June 22, Namibia's lower house of parliament passed legislation to regulate digital assets, cryptocurrencies and virtual asset service providers (VASPs) in the country. It aims to establish a framework for licensing and regulating VASPs, and appoint a regulatory authority responsible for supervising these providers and their activities. The bill is now awaiting official publication before coming into effect.

Namibia's central bank will be publishing a central bank digital currency (CBDC) consultation paper in order to elicit feedback from interested parties. Bank of Namibia Governor Johannes Gawaxab reportedly said at the launch's Q&A session that surging cryptocurrencies "raised the possibility of a financial world operating outside the control of governments and central banks. There is thus a need for central banks to have a clear digital currency agenda to reinforce central bank  authority over money and maintain control over the payment system."