FirstRand Namibia Ltd Declares Dividend Despite Economic Challenges

  • FirstRand Namibia Ltd reports a slight decline in headline earnings for the period ending December 31, 2023.
  • The company's net interest income saw a significant increase driven by interest rate hikes and balance sheet growth.
  • Despite economic challenges, FirstRand Namibia remains well-capitalized with a positive outlook for medium to long-term recovery.
Published by
Lethabo Ntsoane

FirstRand Namibia Ltd, a prominent financial institution in the Republic of Namibia, has declared a dividend amidst economic challenges faced during the period ended 31 December 2023. Despite slight decreases in headline earnings, the company’s financial performance remained resilient, showcasing a commitment to shareholder returns.

Financial Performance

The reviewed results for the period ending December 31, 2023, reveal a mixed bag of performance indicators for FirstRand Namibia Ltd. While headline earnings saw a marginal decrease of 1.7% to N$836 million, pre-provision profits witnessed a 4.9% growth, reaching N$1.375 billion. Net interest income surged by 10%, propelled by an intrusive interest rate hike cycle and a robust balance sheet expansion. However, the bank’s impairment charge increased significantly, resulting in a credit loss ratio of 50 basis points.

Financial Highlights% ChangeDecember 31, 2023 (N$ million)December 31, 2022 (N$ million)
Headline Earnings(0.7%)836842
Pre-Provision Profit4.9%1,3751,311
Net Interest Income10%1,4641,328
Credit Loss Ratio92%0.500.26

Dividend Declaration

Despite the economic headwinds, FirstRand Namibia Ltd has declared an ordinary dividend of 173.52 cents per share for the six months ending December 31, 2023. This decision underscores the company’s commitment to providing returns to its shareholders, maintaining a record of consistency in dividend payouts.

Dividend DetailsAmount (cents per share)
Ordinary Dividend173.52
Special Dividend186.85

Shareholders can expect the dividend payment to occur on April 19, 2024, following the record date of April 5, 2024.

Prospects and Outlook

Looking ahead, FirstRand Namibia Ltd remains cautiously optimistic about the economic recovery, with early signs of improvement in business sentiment. However, challenges persist in the short term, including elevated inflation and interest rates, impacting household spending and credit growth. The company anticipates a slow but steady recovery, driven by sectors such as mining, renewable energy, and tourism.


Despite facing economic challenges, FirstRand Namibia Ltd has demonstrated resilience in its financial performance and commitment to shareholder value by declaring dividends for the period ending December 31, 2023. The company’s strategic outlook remains focused on navigating the current economic landscape while positioning itself for future growth opportunities.


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Lethabo Ntsoane

Lethabo Ntsoane holds a Bachelors Degree in Accounting from the University of South Africa. He is a Financial Product commentator at Rateweb. He is an expect financial product analyst with years of experience in reviewing products and offering commentary. Lethabo majors in financial news, reviews and financial tips. He can be contacted: Email: Twitter: @NtsoaneLethabo