It covers things to know about trade financing in Namibia, including banking systems, patent methods forreign exchange controls, U.S. and correspondent banks.
Namibia’s banking system is modern and closely tied to the South African system. At least three of the eight licensed local commercial banks are subsidiaries of South African banks. All local commercial banks handle international transactions and trade financing.
Methods of Payment
Payments can be made in the following ways:
- Direct Bank Transfers
- Credit Cards
- Debit Cards
There are limits on certain payment instruments within the regional payment system. Effective June 2010, Electronic Fund Transfer (EFT) credits may not exceed N$ 5 million and EFT debits may not exceed N$ 500,000. These limits mainly aim to reduce exposure to risk and fraud. The use of paper checks has been completely phased out as of June 2019.
Credit grantors use information from a credit bureau (Trans Union ITC) to assist in deciding whether or not to grant credit. A credit bureau details the credit history of a consumer or business’s repayment performance.
The Bank of Namibia (BoN) oversees and regulates payment systems in Namibia. The 2003 Payment System Management Act provides details on how the BoN manages the payment system.
For more information about the methods of payment or other trade finance options, please read the Trade Finance Guide.
To access Canada’s ICS section on financing, visit the U.S. Department of State Investment Climate Statement website.