Namibia’s FY2026/27 Mid-Year Budget Review outlines proposed VAT changes, tax administration reforms, sectoral tax relief, and trade measures, alongside efforts to strengthen revenue collection and public financial management.
Namibia’s Ministry of Finance released the FY2026/27 Mid-Year Budget Review Statement on 22 October 2026, detailing key tax policy adjustments, administrative reforms, and sectoral tax relief measures.
The Budget will proceed through the legislative process and become law once approved by Parliament and assented to by the President.
The main tax measures are as follows:
VAT measures
- Repeal of sugar zero-rating: The government is reviewing the VAT zero-rating on sugar to align consumer tax policy with global efforts to reduce sugar consumption and promote healthier lifestyles.
- Agricultural inputs and equipment: To lower domestic food production costs and support the agricultural sector, the government is considering introducing an import VAT zero-rating on agricultural inputs and equipment.
Tax amnesty programme
The Tax Amnesty Programme officially concluded on 31 October 2026, having helped 28,157 taxpayers regularise their tax affairs. The Ministry confirmed that repayment agreements entered into before the deadline will continue to be honoured.
Other tax policy & trade measures
- Export levy rate review: Stakeholder consultations are ongoing to review export levy rates in line with Namibia’s value-based natural resources policy.
- Anti-dumping duties: Namibia is participating in a SACU review of anti-dumping duties on selected products to protect regional industries and ensure fair competition.
- Mining royalty relief: The government has introduced mining royalty relief to support the sector, protect jobs, and safeguard export earnings amid market challenges.
- Fuel levy reductions: Temporary fuel levy cuts and price stabilisation measures provided nearly NAD 740 million in fuel price relief to households and businesses between April and July 2026.
Tax administration, legislation & enforcement
- Tax court establishment: The Income Tax Amendment Bill, which establishes a dedicated Tax Court, has progressed to the National Assembly.
- Illicit financial flows & tax recovery: Coordinated enforcement across financial, revenue, and law-enforcement institutions targeting suspicious tax-related transactions and illicit financial flows has recovered NAD 45 million to date.
- Medium-Term Revenue Strategy (MTRS): The Ministry is actively developing a comprehensive Medium-Term Revenue Strategy, set for completion before February 2027.
