Namibia’s domestic public debt increased by 315.8 percent over a decade to 3.4 billion U.S. dollars at the end of November, according to a credit report from investment research firm, Simonis Storm Securities (SSS).

The firm released the report on Friday and said that government, which is 45 percent of the economy has been forced to change fiscal policy towards fiscal consolidation over the Medium Term expenditure Framework, while the Private Sector, which is 55 percent of total debt is experiencing challenges and is entangled with high debt.

“This is forcing pressure on economic growth, employment and demand for goods and services,” the report said.

According to the report, corporate debt has increased by 298 percent over a decade to 2.6 billion U.S. dollars at the end of Oct. 2017, while household debt has increased by 195 percent over the same period.

Meanwhile the firm is of the view that that highly indebted households coupled with government consolidation will keep the Gross Domestic Product growth on a lower gear for the next two years. Enditem

Source: Xinhua/NewsGhana.com.gh

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