Oil and Gas sector essential - Schlettwein

19 Sep 2014 18:00

The Minister of Trade and Industry (MTI) Calle Schlettwein has urged Namibia to develop the Oil and Gas sector to improve the country’s economy.
Schlettwein who was speaking at the recent Oil and Gas conference said Namibia must aspire to become an important player in this sector.
“There is a need to drive home the transformation of the structure and content of our economy and Oil and Gas worldwide is an essential sector on which the world economy can depend on,” he said.
He went on to say that Namibia boasts a number of fundamentals that are necessary to bring and sustain economic growth, namely macroeconomic stability, good governance, the rule of law, protection of property rights, strong institutions and good infrastructure.
He added that the economy has recorded positive growth even amidst the global financial crisis whilst economic and growth has been positive and given rise to gains per capita income, the growth was jobless.
“It has not performed well in translating economic growth into sufficient additional jobs. Equally, the economy performed below expectation in terms of equalizing wealth distribution,” he said.
He attributed it to the fact that the structure of the economy has remained narrow and resource-based, saying that Economic growth is still largely fuelled by production and exports from the extractive industries.
“The growth and share contribution of the manufacturing sector has remained low over the years, and the contribution of sector in real terms reduced from 14% in 2010 to 13% in 2012,” said Schlettwein.