The primary objective of the envisaged scheme was to protect smaller depositors in the event of bank failures by ensuring that depositors are reimbursed with the value of their guaranteed deposits in an efficient, transparent and speedy manner.
 
The Namibia Deposit Guarantee Authority (NDGA) was established by the Namibia Deposit Guarantee Act (No. 16 of 2018), which was gazetted on 28 December 2018 and the institution was fully operationalised in February 2020. In line with international best practices, the main objectives of the scheme include the protection of a high percentage of depositors against the loss of their deposits by providing compensation in the event of bank failures; and the enhancement of financial stability as a portion of total deposits are insured. The Scheme adopts a guaranteed coverage limit of N$25,000 which is currently in effect. At this coverage limit, the Scheme covers more than 90 percent of current depositors. The Scheme therefore ensures that depositors have access to all or a portion of their funds in the event of a bank failure within a specified time period. It also protects against panic withdrawals by assuring depositors of the safety of their deposits even if a bank fails, reducing the likelihood and scale of such a failure culminating into a crisis for the entire financial system.  The NDGA is an independent juristic entity, although the institution resorts under the Bank of Namibia for day-to-day administrative support.
 
On 11 April 2025, the Namibia Deposit Guarantee Authority (NDGA) celebrated its 5th Anniversary and released its fifth Annual Report for the financial year ended 31 December 2024. The Annual Report is prepared in terms of section 32 of the Deposit Guarantee Act, 2018 (No. 16 of 2018) and in line with standards of good corporate governance. It highlights information on the NDGA’s governance and management, its operations and the performance of its established Deposit Guarantee Scheme. The Report also presents the Authority’s independently audited Annual Financial Statements for the year ended 31 December 2024.
 
The Annual Report highlights that the NDGA’s assets remained safe and secured as invested, in line with the approved investment policy and guidelines. The Deposit Guarantee Fund maintained robust growth throughout 2024, as evidenced by the Fund’s closing market value. The increase was primarily driven by member institutions’ annual premiums contributed to the portfolio, coupled with the strong and consistent performance of the portfolio itself. The portfolio’s market value closed the year at N$30.3 million, reflecting an increase of N$7.3 million compared to the N$23.0 million recorded at the end of 2023. The annual member institutions’ premiums amounted to N$5.4 million in 2024 and the fund earned interest amounting to N$1.9 million during the year under review.
 
As the NDGA marks five years of existence and celebrates this milestone, some of the key highlights over the past five years include:

 
-        The progress that we have made over the past five years was made possible by the guidance from the Head of the Institution, Ms Florette Nakusera as well as the Board who pivoted this institution on a strong foundation guided by the principles of good corporate governance. The adoption of our first three-year Strategic Plan in 2022 is one of the key milestones in our journey. Through the full implementation of the Strategy, we aim to position the NDGA as a future-fit organization committed to enhancing consumer protection while safeguarding the stability of our financial system. – Petrus Shifotoka: Manager of Operations, NDGA
 
2024 marked the second year of implementation of the Authority’s Strategic Plan which was launched in 2022.
 
Building on the strong foundation established during the first year, the NDGA has made significant strides in advancing the goals and objectives outlined in the Plan. Thanks to a sustained effort, strategic focus and commitment, the second year yielded remarkable results, further demonstrating the effectiveness of the Authority’s approach towards achieving its objectives.