Windhoek's capital budget nosedives

The City of Windhoek's budget for capital projects in the current financial year has shrunk by 88%.Only N$83 million was approved, compared to the 2017/18 financial year's capital expenditure budget of N$716 million. The City has to date spent N$22 million on capital projects for the current financial year, of which the biggest expense was N$8.4 million for electrification of informal settlements.The City has said that plot servicing, including in informal settlements, is being undertaken through public-private partnerships and as such active projects are not affected by the budget cut.“However, the planning of new developments is and will be affected,” City spokesperson Harold Akwenye told Namibian Sun recently. He added that informal settlement electrification was “partly affected and therefore was progressing at a slower speed than desired” due to the delay in approving the budget.He confirmed that the City's capital expenditure budget was finally approved on 12 December by rural and urban development minister Peya Mushelenga.The N$716 million approved for the 2017/18 financial year had been approved by the city council, but a new cabinet directive required the City to be given final budget approval by the minister. Six months The budget was approved after months of back and forth between the ministry and City officials, Akwenye said.He added that there was no official reason from the ministry for the long delay in approving the budget, but that many discussions “had to take place for the minister to satisfy himself that the City of Windhoek, and to a certain extent the government, is not exposed to unsustainable financial risk.”Questions about the delay and the approved budget were sent to the ministry more than a week ago, but remained unanswered by yesterday.Two weeks ago, three opposition city councillors - Brunhilde Cornelius, Ignatius Semba and Josef Kauandenge - said the long delay in approving the capital budget was crippling the City's ability to deliver services to its residents.The previous capital expenditure budget, approved by the city council, amounted to N$716 million and included projects related to township planning, infrastructure, water and technical services, information and communication technology, housing, property management and human settlement, the City Police, and electricity. Namibian Sun was unable to verify the exact details of the revised budget proposal the City had submitted to the ministry last year.A reliable source, who preferred to remain anonymous, told Namibian Sun that because of the delay and the budget cut “certain projects could not get off the ground because the money was not approved”.The source alleged that the affected projects included road expansion projects in Katutura.“Most of the major projects are impacted,” he claimed.JANA-MARI SMITH

Windhoek's capital budget nosedives

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Namibian Sun 2025-06-24

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Windhoek's capital budget nosedives

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Namibian Sun 2025-06-24

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