Businesses need to come up with own strategies to implement NEEEF Bill
In an inexplicable turn of event, a new private equity company, Eos Capital emerged as the spokesperson and implementation agent for the Office of the Prime Minister regarding all aspects of approving the controversial so-called NEEF Bill.
With regard to the recent troubled reactions from the business sector and different stakeholders on the New Equitable Economic Empowerment Framework Bill, the Economist send enquiries to the Office of the Prime Minister, supposedly the official agency to drive the NEEF Bill through the promulgation process. But the ministry declined to comment on the bill, instead referring all enquiries to Eos Capital. The Office of the Prime Minister provided the contact details.
When contacted, Eos Capital responded on the subject, however denied any claims that they have any working or official relations with the Office of the Prime Minister. Nevertheless, Eos Capital still responded to those questions first sent to the Prime Minister.
Eos Capital said that the implementation of NEEEF will take a concerted effort from all stakeholders to ensure that “our educational institutions produce people that are well trained and qualified to move through the ranks into management positions.”
With regard to the ownership pillar of the bill which proposes that companies contribute 25% of shares to previously disadvantaged persons, Eos Capital said that companies and funders will need to come together to find progressive ways of helping the average Namibian to participate in the ownership of companies.
Furthermore, the management of Eos Capital under the leadership of former Old Mutual Africa Managing Director, Johannes !Gawaxab said that companies will be given time, thus the mandatory empowerment pillar cannot be an immediate requirement. “For example, companies may allocate a portion of shares to their staff and allow staff to buy those shares over time from the dividends the shares receive. Or companies can list on the NSX and allow individuals access to their shares in smaller units and at more affordable prices” they suggested.
In relation to the implications the NEEEF bill will have on foreign investors it was explained that if not implemented in the right manner, “the bill could cause investors withdrawing their money, and the establishment of new businesses gradually coming to a grind leading to job losses, increased poverty and slower growth.”
Eos Capital emphasised that the NEEEF Bill will be implemented slowly, carefully and correctly so it could help lift people out of poverty, give them purpose and empower them.