On site – Gaomab reorients NIDA

The Namibian Industrial Development Agency is fully government owned and operates under the hybrid governance model applicable in Namibia and therefore falls under both the Ministry of Commerce and the Ministry of Public Enterprises.

NIDA is classified as a State-Owned Commercial Enterprise (SOE) and is a central anchor for future economic growth on industrialization capacity and as a strategic partner for industrial policy implementation as well as transformation of industries. agribusinesses and growth-oriented development of the sector. with the sole purpose of adding value by creating sustainable key industries and related business infrastructure.

These are clearly defined in Article 3 of the law, which indicates the promotion of viable strategic investment projects in development initiatives in industrial, agricultural and rural development areas through joint ventures and public partnerships. -private (PPP).

NIDA is currently drafting its Integrated Strategic Business Plan (ISBP), which will guide its implementation mandate for the years 2022 to 2025. As such, NIDA affects the Integrated Strategic Plan, structure, systems and processes in accordance to the relevant institutional portability provisions. , transition management and business continuity. This is done under the direction of the Ministry of Public Enterprises and under the political supervision of the Ministry of Commerce.

This week, The new era (NE) Senior Business Journalist, Edgar Brandt interviewed NIDA CEO, Heinrich Mihe Gaomab II (MG) on NIDA’s current operational status as well as the agency’s future plans.

NE: What is the current operational status of NIDA?

MG: NIDA’s operational status is historic on change management and transitional and transferable arrangements. This is historic as NIDA inherited an asset base of over N$1 billion, but has outstanding statutory and expenditure obligations. These range from normal operational engagements with customers, water and electricity utilities and capital requirements for its strategic business units regarding its agribusiness, cattle ranching, industrial and commercial infrastructure farms .

NIDA is at a crossroads of change management, reorienting an organizational culture focused on performance and results, emphasizing the accountability and human resource capacity required once the strategic plan is approved by the relevant authorities.

It is transferable in the sense that with the notice of publication by our Portfolio Minister of Industrialization and Commerce which is imminent under Section 30 of the NIDA Act 2016, all assets, rights, liabilities and obligations of Overseas Development Company (ODC) and Namibia Industrial Namibia Industrial Development Agency (NDC) to Namibia Industrial Development Agency (NIDA) will be formalized.

In terms of staffing, we are also in transferable mode with respect to our operational requirements and NIDA’s industrialization mandate by building the required human resource capability guided by the ongoing strategy formulation. We also take care of our employees during the period of transition and change management in the sense that the law specifies that the council can exercise due diligence so that its terms and conditions are not less favorable under NIDA than they were under ODC and NDC.

NE: Who are the focal points for NIDA in 2022?

MG: NIDA is in the process of drafting its ISBP, which will guide its implementation mandate from 2022 to 2025, in accordance with the provisions of the NIDA Act of 2016.

NE: What is the total workforce of NIDA and how would you describe the current working relationship between the NIDA executive and the rest of the employees?

MG: NIDA’s workforce stands at over 230 as of January 31, 2022 in permanent establishment. The workforce should be assessed against the results of the ISBP, taking into account its organizational capacity and financial viability. The agency is mindful of designing an organizational structure that can deliver the performance driven results and outcomes required by the agency’s industry mandate and conventional wisdom dictates that a structure follows strategy and therefore we cannot make other than to conform to this saying. once the strategy is approved to ensure that the structure is in place this year under the direction of the shareholder and portfolio departments. NIDA maintains good industrial relations and considers them essential to its future success. This is why we have developed a healthy and productive relationship with the NAFAU union by signing a process and recognition agreement in April 2022.

NE: Is the recruitment of NIDA executives over? if not, what management positions remain to be filled and when can we anticipate?

MG: Once the strategy is finalized and approved by the board of directors and the shareholder and portfolio ministries of public enterprises and industrialization and commerce, the identified leadership positions will be announced no later than June 2022, but guided through transformation, transition, change management and transferability. provisions of the NIDA Act 2016 which are based on organizational capacity and financial viability.

NE: With a mandate to “unlock economic opportunity”, what new industrial projects can we expect from NIDA in 2022?

MG: The agency is at an advanced stage to finalize its ISBP 2022-2026 for approval by the board of directors and then by the government through the ministries (public enterprises, industrialization and trade, finance, agriculture, water and land reform) . The draft ISBP under development highlights various interventions and projects/programs to be implemented for the next five years; however, economic focus areas will be publicly announced once approved.

NE: Which existing national development projects managed by NIDA have the most potential to support employment and economic growth?

MG: National projects managed by NIDA include the following:

Venues and Premises Program: Provides affordable premises for SMEs and entrepreneurs to connect with their business activities. Currently, NIDA manages 148 properties located across the country, which has created an enabling environment for the management and operation of business ventures to create employment opportunities and improve the livelihoods of owners and communities.

Agro-industrial operations: NIDA manages agro-industrial projects specializing in three different forms of agriculture; cattle breeding for beef production, table grapes and date production for domestic and export markets. These projects are located in the Kavango West, //Kharas and Kunene regions which have potential for value addition, diversification and expansion. Currently, 460 direct employment opportunities have been created. In addition, these projects contribute to national food security, import substitution, foreign exchange earnings as well as the diversification of export products.

NE: What are the main challenges that NIDA will face in 2022 and how does NIDA plan to overcome these obstacles?

MG: NIDA is still in a state of transformation, transition management and institutional continuity and this process has taken some time and will be destined for faster finalization once the strategy comes into effect this year. The agency will need financial and human resources to implement its industrial mandate.

NE: What needs to be done to restore NIDA’s image to the Namibian public?

MG: We are reorienting our organizational culture to be responsive, performance and results driven and to ensure greater potential in terms of revenue generation from our strategic business units of sustainable cattle farming, agro-food production, services commercial and commercial and industrial property infrastructure. We aim to rebrand quickly once the strategy is affected to modernize and ensure greater stakeholder engagement, reputation management and better corporate visibility.

NE: What was NIDA’s budget for the current financial year and how do you think that will change in the 2022/23 national budget?

MG: NIDA’s budget is currently under review for strategic formulation and financial analysis and the expectation will be to leverage its asset base of over N$1 billion to source funding premises in order to achieve its industrial mandate in Namibia. The budget for 2022/23 is not yet approved by the Board of Directors and will be aligned with the ISBP which is yet to be approved.

2022-02-18 Edgard Brandt

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