By: Kelvin Chiringa
Prime Minister Saara Kuugongelwa-Amadhila’s husband Tobias Amadhila has said that he never secured his Development Bank of Namibia (DBN) loans by leveraging on the power of his wife.
The PM’s husband came under fire from unionists and politicians who have asked him to explain how he was able to secure N$180 million worth of loans which he is allegedly struggling to pay back.
Some have called out the PM to explain if she played any role given that she was the finance minister at the time.
The PM has denied any connections to her husband’s dealings with the bank and his businesses.
In a statement, Amadhila said he found it malicious that he has been accused of using these loans to build his own house.
“I have observed with concern some mainstream and social media reports about my business relationship with the Development Bank of Namibia (DBN). As a businessman I am perturbed by the insinuation that my business dealings with the bank are as a result, inter alia, of favouritism within the bank, as a result of influence allegedly exerted on the bank by my spouse.
“Even though my business dealings are a private matter, in this instance, I deem it necessary to provide information that is factual in as far as I and/or my businesses’ use of the bank’s finances is concerned,” he said.
Amadhila stated that between March 2014 and March 2016, he applied and obtained funding from DBN to the tune of N$100 million for the construction of a shopping mall at Outapi.
He said this loan was advanced in four parts during the construction period and took two years.
During October 2017, Amadhila said a manufacturing business he co-owns applied and obtained another loan to the tune of N$40 million.
“The funding, as applied for, was to acquire and operate a manufacturing business. Such a loan application was a success (too),” he said.
He said his loan accounts have been in good standing with the bank at all times.
However, he said that he fell victim to a bad economy and the Covid-19, and he had to revise the loans agreements with DBN.
“As a result of the financial downturn, which has been experienced all over Namibia as well and abroad, especially within the past five years or so, and the very unfortunate Covid-19 pandemic, business has not been as usual.
“As a result of the challenges encountered, it has been difficult to always keep up with the loan repayments. I, however, confirm that even under the prevailing circumstances, I and my businesses have, in agreement with the bank, continued to service the loans on revised terms that have helped my business to strive towards meeting our contractual obligations with commitment.
“I and my businesses have continued to consistently make monthly repayments on these loans and have to date, repaid an amount of N$49.1 million,” he said.
Amadhila said that all his loans were obtained in a transparent manner and that he has provided collateral amounting to N$146 million.
“No one has done me any favours so as to obtain these loans. I condemn the malicious suggestion that DBN has favoured me because the bank allegedly reported to my to my wife,” he said.
