• Namibia allocates 107.1 million Namibian dollars ($6.5 million) to finance phases 2 and 3 of its Universal Service Fund (USF).

• The regulator CRAN awards 42.1 million Namibian dollars for Phase II rollout led by MTC and Telecom Namibia.

• The government targets up to 90% internet penetration by 2030 under its national digital inclusion strategy.

The Namibian government intensified its efforts to eliminate the digital divide by allocating NAD 107.1 million ($6.5 million) to the Universal Service Fund (USF). This financial mechanism addresses market failures by incentivizing investment in high-cost, low-profit rural areas. These regions would otherwise remain underserved or entirely without connectivity.

The Communications Regulatory Authority of Namibia (CRAN) announced the distribution of these funds in a statement on Thursday, April 16. CRAN awarded NAD 32.3 million to mobile operator MTC and NAD 9.8 million to Telecom Namibia for the second phase of the project. Consequently, the total budget for Phase 2 reached NAD 42.1 million. MTC will utilize these funds to deploy Radio Access Network (RAN) towers across nine strategic sites in the regions of ǁKaras, Kavango West, Kunene, Ohangwena, and Oshikoto. Furthermore, the project will provide connectivity to 15 public institutions, including various schools and health centers.

The government will mobilize approximately NAD 65 million for the third phase of the program. This stage aims to connect nearly 16 additional communities across the country. While the government has already begun disbursing funds for Phase 2, it has not yet published the specific timeline for Phase 3. Civil engineering works for the second phase will officially begin in May 2026.

The USF launched in February 2025 with an initial base investment of NAD 145 million. The fund draws its capital from public grants and a 0.5% levy on the gross revenues of telecommunications operators. The first phase of the program targets the regions of Kavango West, Kavango East, Kunene, and Oshikoto. This phase seeks to achieve a minimum broadband coverage rate of 80% in these designated areas. Specifically, the government expects 10,300 citizens to benefit from improved 4G services through this initiative.

The Ministry of ICT allocated an additional NAD 78 million for the construction of telecom sites and public Wi-Fi deployment for the 2026/2027 fiscal year. In a related move, Telecom Namibia secured a NAD 405 million loan in March to strengthen national broadband access and mobile network capacity. Authorities also intend to integrate satellite technologies to complement terrestrial coverage in remote locations. These combined efforts align with the sixth National Development Plan (NDP6). This plan views universal connectivity as a critical lever for inclusive growth and participation in the digital economy. Through these policies, the government intends to raise the national internet penetration rate from 53% to 90% by 2030.

Despite these investments, Namibia faces significant infrastructure challenges. CRAN data from February 2024 shows that 360,000 Namibians lack 4G coverage. This figure represents approximately 12% of the total population. Additionally, the digital gap affects 339 schools and 50 health facilities nationwide. Data from the International Telecommunication Union (ITU) indicates that 3G coverage reached 89% of the population in 2023. However, the country successfully maintains 100% population coverage for basic 2G services.

This article was initially published in French by Isaac K. Kassouwi

Adapted in English by Ange J.A de Berry Quenum