Iipumbu Shiimi: Namibia Informal Traders Report Reveals Harsh Conditions

• A parliamentary report by Iipumbu Shiimi revealed widespread lack of basic sanitation, secure storage, and adequate trading space for informal traders in major Namibian towns.
• Oversight visits between October 2025 and January 2026 found significant water, sanitation, and ablution challenges in Okahandja, Windhoek, Swakopmund, and Keetmanshoop.
• Windhoek faces development hurdles for new trading sites due to insufficient central government funding and rapid urban migration, impacting its approximately 3,000 traders.
• Informal traders frequently lack access to formal financial services and business training, often relying on personal savings or family loans.
• The committee recommended increased central government funding for essential trading infrastructure, including water, ablution, electricity, secure storage, and waste collection, prioritizing existing trading locations.

The report explicitly notes that in many informal trading areas within Okahandja and Windhoek, ablution facilities are either in a state of disrepair or entirely non-existent.

A recent parliamentary report has brought to light the challenging operational environment faced by informal traders across several major towns in Namibia. The comprehensive findings, compiled by the parliamentary standing committee on economy and industry, public administration and planning, detail a widespread lack of fundamental amenities such as basic sanitation, secure storage facilities, and adequate trading spaces. The report, which was recently tabled in the National Assembly by committee chairperson Iipumbu Shiimi, underscores significant Namibia informal sector challenges.

The committee conducted extensive oversight visits between October 2025 and January 2026, scrutinizing the conditions and obstacles confronting both informal traders and small and medium enterprise (SME) operators in Okahandja, Windhoek, Swakopmund, and Keetmanshoop. A consistent theme emerged across all four locations: severe deficiencies in water, sanitation, and ablution facilities at informal trading sites. For instance, traders at Swakopmund's open market are compelled to pay N$5 for access to ablution facilities, while those at the Epandulo SME Centre in Okahandja sometimes resort to using surrounding bushes due to the absence of proper amenities. The report explicitly notes that in many informal trading areas within Okahandja and Windhoek, ablution facilities are either in a state of disrepair or entirely non-existent.

Beyond sanitation, the report highlights a critical shortage of permanent infrastructure and secure storage solutions at various trading locations. This forces traders to pack and unpack their merchandise daily, significantly increasing the risk of stock damage and financial losses. The findings of the Iipumbu Shiimi informal traders report Namibia paint a stark picture of the daily struggles endured by these entrepreneurs, who form a crucial part of the national economy.

The parliamentary committee's investigation delved into specific urban challenges impacting informal trading. In Windhoek, where approximately 3,000 traders operate across a mix of developed, undeveloped, approved, and unauthorized sites, the City of Windhoek has identified additional potential trading locations. However, the development of these sites is severely hampered by a lack of central government infrastructure funding and the pressures of rapid urban migration. The report indicates that Windhoek has struggled to balance the interests of informal traders with those of formal businesses while attempting to identify suitable trading locations, contributing to the Namibia SME conditions report.

Specific examples from the capital city further illustrate these difficulties. Traders at the Semi Mall Market in Windhoek's central business district have voiced concerns regarding security, inadequate maintenance, and the absence of gender-segregated toilets. Chairperson Shiimi personally observed broken paving and footpaths, poor cleanliness, and insufficient storage facilities during the committee's visits. Okahandja faces similar issues, with traders at the Epandulo SME Centre operating in confined spaces with non-operational ablution facilities. At Okahandja's Mbangula market, traders have collectively pooled their own resources to employ a night watchman to safeguard their stock, underscoring the critical need for improved Windhoek informal trading infrastructure and Okahandja informal traders sanitation.

The committee also uncovered significant infrastructure and financial challenges in other regions. In Keetmanshoop, existing infrastructure is often non-operational; the open market is largely unusable due to strong winds damaging goods, and the !Homs Ai Community Market has remained locked since a water disconnection in October 2023. This disconnection was linked to a substantial debt, with the Namibia Industrial Development Agency owing the Keetmanshoop municipality N$4.1 million for water, utilities, rates, taxes, and electricity by March. Meanwhile, the Okahandja council has allocated N$250,000 in the 2025/26 financial year for the initial phase of a proposed new open market, projected to accommodate around 100 traders.

Beyond physical infrastructure, the report highlights limited access to finance and business training as a major impediment for informal traders. Many rely on personal savings or small loans from family and friends, with a notable number lacking the necessary documentation to access formal financial services. To address these systemic issues, the parliamentary standing committee on economy industry Namibia has put forth several key recommendations. These include increased central government funding specifically for trading infrastructure, encompassing water, ablution facilities, electricity, secure storage, and waste collection. The committee also urges authorities to prioritize infrastructure development at sites where traders are already actively operating, aiming to create a more supportive and sustainable environment for the informal sector.

Lawyers advising businesses in Namibia should note the parliamentary report's findings on poor informal trader conditions, as these issues could affect supply chain stability, social responsibility considerations, or future infrastructure development projects. Compliance officers should be aware of the regulatory gaps impacting informal traders' access to formal financial services.

Source: Original reporting via The Namibian