State owned entity, Namibia National Reinsurance Corporation (NambRe) handed over a dividend cheque of N$3.5 million to the Ministry of Finance, which is an increase of N$1.5 million in comparison to the dividend of N$2 million the corporation declared for the 2015 financial year.
The enterprise that offers reinsurance services to the local and international insurance markets at the hand over on Wednesday, in Windhoek, said the amount is 20% of the net profit after taxation of N$17.5 million for 31 March 2016 financial year.
The handover ceremony was attended by the Deputy Minister of Finance, Hon. Natangue Ithete, NamibRe Members and Management.
Ithete received the cheque on behalf of Treasury and in his keynote address applauded the Corporation for honouring their financial obligations to the Shareholder and striving to meet its mandate, despite a tough year for the global and regional markets.
“Despite such challenges, the corporation was still able to optimize the return. The uncertain regional and global markets, have also impacted revenue performance for the government, “ he added.
According to Ithete, the dividends declaration from the corporation could not have come at the right time to supplement the revenue collected by the government.
Furthermore Ithete, encouraged other SOEs to emulate the Corporation in terms of performance and ability to declare dividends.
“SOEs should strive to achieve financial self sustainability and operational efficiency, by adopting sound systems for the mobilization, utilization and management of public funds. By so doing SOEs would be able to achieve financial sustainability, contribute towards the fiscus and meet their mandate,” he said.
At the event, Board deputy Chairperson, Libertha Kapere extended a warm welcome to everyone and she reiterated the corporation’s commitment towards working hard to achieve its strategic objections as set out in the Corporation’s strategic plan and to declare dividends to the shareholder annually.
Meanwhile to date, NamibRe has paid N$12.6 million in dividends to the Shareholder.