Nowadays, purchasing a used car is still very expensive for Namibians—so much so that some have resorted to using donkeys as their mode of transportation instead!
Namibia has one of the most expensive car markets in Africa.
It has a population of 2 million people and an average salary is N$6,500 ($400). The cost of vehicles has increased by 200% since 1990, which is higher than in any other country in Africa. The average price of a car is N$500,000 ($32,000), making it one of the most expensive countries to buy a car in Africa.
The Namibian government put a 70 per cent duty tax on cars.
Today, however, the country has grown to nearly 2 million people and imports almost 95 per cent of its vehicles.
The government then put a 70% duty tax on cars, which was reduced to 40% in 1994. The reason for this was that they thought the country had a small population that needed few imports.
As the country’s population exploded since then, so did its dependency on imported vehicles.
- As the country’s population exploded since then, so did its dependency on imported vehicles.
- The government has tried to reduce this dependence by reducing import taxes on cars and giving tax breaks to local car manufacturers.
- In 2019 alone, Namibia saw an increase of over 10% in the number of cars sold within its borders.
According to local media, a second-hand Toyota Hilux costs around N$500,000 ($32,000), which is an average annual salary.
Toyota’s popular pick-up truck is the most widely-used vehicle in Namibia and has become something of an icon for its ruggedness and reliability. It’s no wonder so many Namibians choose it as their first car!
How much is a car in Namibia?
The cost of purchasing a vehicle in Namibia depends on several factors including the type of vehicle you want; where it was manufactured; whether there are government taxes and duties on imported cars; how much import duty tax has been paid by previous buyers (if any); what model year your chosen car was manufactured in; and which dealer is selling it.
Conclusion
It’s not uncommon for people to spend more than their annual salary on a car in Namibia, but they have no choice. The country has one of the most expensive car markets in Africa, with many residents resorting to using donkeys as a means of transportation because they can’t afford anything else.