Windhoek: Namibia’s financial sector has taken a step towards tackling climate change and fostering inclusive growth with the launch of the Namibia Sustainable Finance Alliance (NSFA).

According to Namibia Press Agency, in a media release issued Wednesday by Naufiku Hamunime, Acting Deputy Director of Corporate Communications and Sustainability at the Bank of Namibia (BoN), it was announced that the central bank, together with financial institutions, regulators, and industry associations, formally established the alliance at its inaugural meeting in Windhoek on Tuesday.

The NSFA is a voluntary, multi-stakeholder platform that will coordinate efforts to embed sustainability into the financial system. Members include the BoN, Namibia Financial Institutions Supervisory Authority (Namfisa), Namibia Savings and Investment Association, Bankers Association of Namibia, Bank BIC, Bank Windhoek, Letshego Holdings Namibia, and the Namibia National Reinsurance Corporation.

Speaking at the launch, BoN Deputy Governor and chairperson of the alliance, Ebson Uanguta, said the initiative reflects a strong collective commitment. ‘The Namibia Sustainable Finance Alliance represents a clear demonstration of the collective resolve of our institutions to address one of the most defining challenges of our time: embedding sustainability and climate resilience into the financial system,’ he said.

The NSFA will prioritise climate and nature risk assessment and management, developing tools and pilot projects to assess and disclose environmental risks, as well as data and analytics, aimed at standardising definitions, strengthening disclosure practices, and exploring a shared national climate data repository.

Namibia faces growing climate risks, with financial institutions already experiencing higher loan defaults and insurance claims. The alliance aims to channel finance into renewable energy, climate-smart agriculture, and sustainable water and land management, turning risks into opportunities.

In recent years, Namibia’s financial sector has introduced green bonds, tapped into international climate finance, and made sustainability central to its long-term strategies. Participation in annual UNFCCC (United Nations Framework Convention on Climate Change) summits has also become routine, demonstrating its evolving global role.

‘Namibia is at a crossroads. The costs of inaction are immense, but the benefits of a successful transition are national prosperity, stability, and a dignified future for all Namibians,’ Uanguta said.

The alliance is expected to serve as a catalyst for building resilience and mobilising resources to meet Namibia’s climate adaptation goals.