1994 As in 1993 and in spite of favourable political and economic parameters and the prevailing peace and stability, foreign investments are generally still lacking, with the exception of single projects in the tourism and fishery processing sectors. The drop in the GDP of 3,3% in 1993 is followed by an economic revival in 1994. The GDP increases to 5,5% due to a higher production of diamonds (9%). The exports are increasing with 12% to N$ 4,7 billion. The moderate increase in imports (8%) results in a positive trade balance. Also 1994 doesn’t alleviate the inherited social imbalance between "black" and "white" communities.
07.01. The Deputy Minister for Works, Transport and Communication, Klaus Dierks, announces that a pilot training college is in the process of planning for Keetmanshoop. The SA African National Congress (ANC)(SA Minister for Defence, Joe Modise) supports the project. The flying school could provide up to 120 jobs in Keetmanshoop and would be a major boost to the Namibian South. He further makes known that the German Government is in the process to deliver three mobile radar systems (ex the former GDR Army), worth N$ 40 million, to Namibia. One station would be installed at Windhoek International Airport, the second one at Rooikop Airport at Walvis Bay and the third in the Caprivi Strip to monitor over-flights to and from Angola.
08.01. Klaus Dierks further announces that he negotiated respective soft loans from the German Government (Kreditanstalt für Wiederaufbau (KfW)) for several road rehabilitation projects (Otavi-Otjiwarongo, Oshivelo-Ondangwa-Oshakati, Mururani-Rundu and Ondangwa-Oshikango).
15.01. An Extradition Treaty between Namibia and South Africa for the extradition of South Africans who committed crimes in Namibia during the apartheid era does not materialise because the old SA Government which is just retiring from the political stage is still protecting these deeds.
21.01. A fifth round of talks on the re-integration of Walvis Bay and the Atlantic offshore islands takes place in Pretoria. A day of hard bargaining occurs as a high-powered delegation (the ministers for Home Affairs, Lucas Hifikepunye Pohamba, Trade and Industry, Hidipo Hamutenya, Health and Social Services, Nicky Iyambo, Justice, Ernest Ngarikutuke Tjiriange, Agriculture, Water and Rural Development, Nangolo Mbumba, Mines and Energy, Andimba Toivo Ya Toivo, the Attorney General, Hartmut Ruppel, the deputy ministers for Works, Transport and Communication, Klaus Dierks, Home Affairs, Jerry Ekandjo, Information and Broadcasting, Daniel Tjongarero and Defence, Philemon Malima) under the leadership of the Minister of Foreign Affairs, Theo-Ben Gurirab takes up the negotiations with the South Africans under the SA Minister of Foreign Affairs, Pik Botha. Both countries still have significant differences over several crucial issues surrounding the February 28th handover of Walvis Bay. Top of the conflict is the question whether Namibia should pay for assets in the port town. Two key SA-parastatals in the enclave, the SA power giant Eskom and the SA port company Portnet, are pushing for compensation for handing over their facilities to Namibia which combined totals over N$ 100 million. The SA Cape Provincial Administration is also pressing for a pay-off for assets its owns including government buildings and the synchrolift at the port. Portnet demands N$ 84,7 million for the transfer of the port’s assets while Eskom asks N$ 23 million before it hands over power facilities in the enclave. The Namibian South West Africa Water and Electricity Corporation (SWAWEC)(later NamPower), led by Polla Brand, maintains that Eskom has received the Walvis Bay power installations for a nominal R 1,00 from the SA Government. The SA telecommunication company Telkom claims from Telecom Namibia N$ 4,8 million. Portnet threatens that in case Namibia doesn’t pay up then all moveable assets in the port could be shipped to South Africa. The Namibian Deputy Minister for Works, Transport and Communication, Klaus Dierks, comes up with an analysed list of assets which considerably differs from the South African claims which in most cases are not based on engineering analysis (many assets were paid by Namibian tax payers before 1978 like the roads infrastructure in the enclave). For instance, the Portnet claims are based on the total losses of the SA transport parastatal Transnet although the Port of Walvis Bay always made profits. The Namibian side maintains that international laws of state succession make it clear that Namibia should not have to pay for anything in Walvis Bay. A second issue of contention is the form of future local elections in Walvis Bay. The South Africans are pressing for the maintenance of the existing ward system while the Namibian side wants a new delimitation of the local authority area. However, South Africa has now accepted that dual citizenship for Walvis Bay residents would be against the stipulation of the Namibian Constitution. A further conflict area is the question of South African landing rights at the Rooikop Airport in Walvis Bay.
Namibia concludes with the Federal Republic of Germany an Investment Protection Agreement.
27.01. The South West Africa Water and Electricity Corporation (SWAWEC), announces that, after negotiations, Eskom’s claim of N$ 23 million will be considerably reduced.
04.02. In Okahao in the Omusati Region President Nujoma opens a new digital telecommunication system for the four regions in the former Ovamboland. The event is witnessed by the German Ambassador, Hanns Schumacher, the Chairman (E Angula) and the Managing Director (B Ekloff) of Telecom Namibia, as well as the Deputy Minister for Works, Transport and Communication, Klaus Dierks. The new system covers an area of 12 000 square kilometres, stretching from Onesi in the west to Eenhana in the east. Although the German Rurtel Telecommunication System is financed by a grant from the German Government which was negotiated by Klaus Dierks, it provides profits to Telecom Namibia within a year.
08.02. The assets at Walvis Bay are still the main bone of contention in the negotiations about the handover of the port town between Namibia and South Africa. Ongoing discussions over the port facilities are still highly sensitive and difficult. Klaus Dierks announces that last week Portnet refused Namibian officials access to the port to talk to the employees. In the mean time Portnet drops its demand from N$ 84,7 million to N$ 64,4 million being the value of the fixed assets and the liabilities. Dierks holds the opinion that paying for fixed port assets and liabilities implies that Namibia would pay for South African state debts. It becomes now clear that the disagreement over the port assets will be only sorted after re-integration on 28.02. The two governments are now looking into at a transitional agreement on the transfer of port facilities which would allow the new Namibia Port Authority (NamPort) to take over on 28.02. with the port asset issue to be sorted out a later stage. Another objection by Dierks is the sale of government houses (140 houses) by South Africa, leaving only 40 houses to Namibia.
The German Ambassador, Hanns Schumacher, signs an agreement with the Deputy Minister for Works, Transport and Communication, Klaus Dierks, for the construction of a section of the Trans Caprivi Highway from Divundu at the Okavango River to a point 100 km east of the river. The German Government is financing the project with N$ 80 million. In June this amount is topped up by a further grant of N$ 40 million.
09.02. The Minister for Works, Transport and Communication, Marco Hausiku, accompanied by the Permanent Secretary, Frieda-Nela Williams, meets his counterpart, Dawie de Villiers in Pretoria. Hausiku declares the willingness of the Namibian government to partly compensate Portnet to the tune of N$ 15 million for investments which were recently done in the port.
21.02. Exactly one week before the re-integration of Walvis Bay, the National Assembly accepts the Walvis Bay and Off-Shore Islands Bill of 1994 during the third reading.
22.02. The Namibian Government believes that South Africa actually owes Namibia N$ 33 million for the Port of Walvis Bay and not that Namibia should pay Pretoria for the port assets. The Deputy Minister for Works, Transport and Communication, Klaus Dierks, declares that his Ministry had analysed the revenues and liabilities of the port since World War One. The highly profitable Port of Walvis Bay had been cross-subsidising the South African railways for 30 years. Still no breakthrough is achieved by a Joint Technical Committee on the Walvis Bay Assets. It seems that both countries have to call in outside arbitration. But, the impasse over the compensation issue will not affect the handover to the Namibia Port Authority (NamPort) at midnight on February 28.
23.02. Five days before the re-integration of Walvis Bay, the National Assembly accepts the Namibian Ports Authority Bill of 1994 during the third reading.
28.02. The South African Air Force Base at Rooikop (Walvis Bay Enclave) is found completely destroyed by unknown forces.
Walvis Bay and the Atlantic offshore islands are re-integrated into the Republic of Namibia. President Sam Nujoma declares this event the end of the decolonising process in Namibia. The celebrations are witnessed by many heads of states like Robert Mugabe from Zimbabwe and Jerry Rawlings from Ghana. The SA African National Congress (ANC) is represented by Walter Sisulu and Thabo Mbeki. Other important personalities who attend the great event are Lisbeth Palme, wife of the murdered Swedish Prime Minister, Olof Palme and Sonia Gandhi, wife of the murdered Indian Prime Minister, Rajiv Gandhi.

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Sam Nujoma during the Re-integration of Walvis Bay into the Republic of Namibia, 1994
Namibia State Archive

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The Representatives of the South African ANC, Walter Sisulu and Thabo Mbeki during the Re-integration of Walvis Bay into the Republic of Namibia, 1994
Namibia State Archive

March The election campaign for a new democratic South Africa which would end decades of Apartheid rule begins. SWAPO and NUNW support the SA African National Congress (ANC) politically and financially.
17.03. The Minister for Finance, Gerd Hanekom, tables the Budget for the Financial Year 1994/95. The budget makes provision for an expenditure of N$ 3 690 million, an increase of 10% against 1993/94 which reflects more or less the inflation rate of 11% for the year (8,5% for the previous year). But, an additional budget later this year has to make provision for an additional expenditure of N$ 257 million. This expenditure is mainly caused by additional costs for the re-integration of Walvis Bay, salary increases in the Public Service (10%) and the purchase of an official aeroplane for the Prime Minister (a Lear Jet 31 A for N$ 6,5 million). The expected deficit of N$ 407 million is clearly higher than the deficit for the last year of N$ 357 million which again will be covered on the domestic capital market. Hanekom makes known some tax decreases for the lower income groups. He further announces a uniform Old Age Pension for all Namibians with an age of sixty of N$ 135 per month with effect from 01.07. (95 000 people are effected). During the colonial dispensation a non-contributory pension scheme, based on the ideology of racial segregation, existed. "Whites" received R 382 per month, while "blacks" had to survive with R 55. This discriminatory system was abolished in 1992.
03.04. After the Namibia Time Bill (Bill 39 of 1993) was tabled in the National Assembly on 10.11.1993, the new Namibian Standard Time (Winter Time) comes into effect at 02h00 in the morning.
05.04. The Permanent Secretary for Foreign Affairs, Andreas PGuibeb, is in a Report of the Office of the Ombudsman, Jariretundu Kozonguizi, accused of corruption. No direct action is taken against the official.
18.04. A judicial investigation into the murder of SWAPO activist Anton Lubowski (September 1989) commences. Reason for this are new accusations against members of the, in the mean time dissolved, South African Civil Co-operation Bureau (CCB). Also Namibian police officers were reportedly involved in the murder. This leads to the temporary suspension of four police officers (27.04.). The lacking Extradition Treaty between Namibia and South Africa prevents the extraction of any members of the CCB.
29.04. It is very difficult for the Government to fulfil the high level of expectations among the Namibian people. Frustrated illusions can be found in many quarters. As one example, dissenting students approach the President directly to listen to their grievances. This student objection is followed by strong protests (June) of demobilised jobless Ex-PLAN soldiers who illegally invade the training centre of the state-owned Development Brigade Corporation at Ondangwa. They also demand to see President Sam Nujoma.
05.05. The Deputy Minister for Works, Transport and Communication, Klaus Dierks, announces the Namibian Road Sector Reform which will commercialise Namibia’s road system which will become self-regulating. This system will pave the way for a completely new relationship between the private and public sectors. Namibia is here at the forefront of related developments in the world. There is only one country in the world which is going as far as Namibia is reforming the road sector and that is New Zealand. The new arrangement will consist of four components: The road sector will be self-financing by way of equitable, fair, cost-reflective and transparent road user charges. The envisaged Namibia Road Fund Administration is the regulator of the system and will administer the Road Fund which is fed by the Road User Charges. The new Roads Authority (RA) will be responsible for the management, planning and design of the national road network. The envisaged Namibia Roads Contractor Company (RCC) is run on private sector principles and will take over all road construction and maintenance units of the Ministry of Works, Transport and Communication.
23.05. In Noordoewer at the Oranje River, Klaus Dierks inaugurates the first digital telecommunication switch in the south of the country.
June The USA delivers five light military surveillance aeroplanes.
06.06. The Angolese resistance movement UNITA claims that Namibia allows Angolese government troops to use Namibian soil as jumping board into UNITA controlled territory.
09.06. Construction is to start in the next two to four weeks on a new N$ 58,2 million office block for the Namibian Government (partly at the site of the former SWAPO headquarter). The offices are built by the construction firm Stocks & Stocks Namibia. The office block is privately financed by Namibian banks (Standard Bank Namibia and First National Bank Namibia).
29.06. After many rounds of coalition talks the National Patriotic Front (NPF) of Moses Katjiuongua, the South West African National Union (SWANU) and the Deutsche Aktion: Deutsch-Südwester Komitee (DSK) announce the establishment of a coalition party, the Democratic Coalition of Namibia (DCN). SWANU leaves after some in-house-fights the coalition on 07.11.
20.07. In preparation for the first general elections for the National Assembly and the Office of the President in November 1994, some new political parties are emerging. One is the Namibia Women’s Action for Equality, under the leadership of H Latvio. Due to deficient organisational structures and a shortage of members no registration for the forthcoming elections takes place.
21.07. The Report of the Auditor General on the Accounts of the Government for the Financial Year 1991/92, Fanuel Tjingaete, criticises a number of ministries for mismanagement and corruption. Similar critics are also expressed at the activities of the University of Namibia (Vice-Chancellor: Peter Katjavivi) (September) and the Development Brigade Corporation (November).
01.08. Namibia concludes with Switzerland an Investment Protection Agreement.
03.08. Members of SA’s "special operations" unit, Koevoet, which was founded as an "anti-insurgent" unit in 1979 and members of the South West Africa Territory Force (SWATF), who left Namibia in 1989 are trying to return to their country of origin. 29 former Koevoet and SWATF members together with 64 family members are attempting to cross the Namibian border. They are prohibited to enter the country. This is overruled by the Namibian Supreme Court on 18.08. and they are allowed to return.
09./10.08. The newly elected President of the democratic South Africa, Nelson Mandela, visits Namibia. He outlines new perspectives for the two countries in order to master the heritage of decades of Apartheid rule. He also undertakes to support the nullification of the colonial debts.
15./16.08. The elections for a new Walvis Bay City Council results in a convincing majority for the SWAPO Party (SWAPO: eight seats: DTA: two seats).
30.08. The Deputy Minister for Works, Transport and Communication, Klaus Dierks, receives for his Ministry the 1994 Shell Environmental Management Award for the environmental concern it has shown for the construction of a new road from Omafo to Okalongo in the Ohangwena Region.
02.09. President Nujoma opens the last missing link between Keetmanshoop and Lüderitz, the Aus to Goageb highway.
04.09. For the first time Namibians have to push their clocks one hour forward, from the Namibian Standard Time to summer time.
08.09. During a People’s Conference on Land at Mariental 500 delegates demand the participation of women and landless people in the land reform process.
21.09. The German Ambassador, Hanns Schumacher, signs an agreement with Klaus Dierks regarding the German donation of two radar stations (RSP 10 MN) for the surveillance of the Namibian air space. German experts will assist in the training of Namibian counterparts to operate the radar systems.
27.09. The new SWAPO party list for the 1994 elections is established by internal elections by the SWAPO Electoral College in Katutura (Windhoek). The first 32 members are, according to the SWAPO Party Constitution, appointed by the Party President, Sam Nujoma. This list is headed by the Vice President, Hendrik Witbooi and the Secretary General, Moses Makue 5Garoëb. The list of the 32 contains also candidates of the NUNW, the recently revived SWAPO Youth League (SYL) and the SWAPO Women’s Council (SWC). The remaining 40 members are elected by the Electoral College. The top positions are filled by Klaus Dierks and Nangolo Mbumba, followed by Nathaniel Maxuilili. Former Agriculture Minister, Anton von Wietersheim is off the elected list and so are SWAPO back bencher Danie Botha and Deputy Agricultural Minister, Stan Webster. Michaela Hübschle reaches a hopeless position on the party list.
The Minister of Defence, Peter Mweshihange, visits India. There he negotiates the purchase of military helicopters for Namibia. Four are delivered on 18.12. (N$ 19,6 million).
29.09. Serious border violations along the Namibian Angolese border by the Angolese resistance movement UNITA. Several Namibians are killed during these incidents.
03.10. A Committee of Inquiry on the Misuse of Drought Relief Subventions is appointed. It has to be investigated whether some Ministers used these subventions to drill boreholes on their private farms (inter alia Minister of Justice, Ernest Ngarikutuke Tjiriange and Deputy Minister of Home Affairs, Nangolo Ithete).
12.10. In the light of the conflict between UNITA and the Namibian Defence Force (NDF), the Namibian Government tries to resolve the problem. Therefore the UNITA leader Jonas Savimbi is invited to Namibia. However, Savimbi declines the invitation (18.10.).
18.10. The border violations by UNITA are reciprocated by the Namibian Government with the closure of the Namibian Angolese border and an increased presence of the Namibian Defence Force (NDF) along the Okavango River.
25.10. The long awaited Agricultural (Commercial) Land Reform Bill is promulgated in the National Assembly, but not any more ratified in the National Council during the same year. This piece of legislation is the result of the Land Conference 1991 and the work of the Technical Committee on Commercial Farmland (TCCF). This bill creates the legal basis for the re-distribution, expropriation and taxation of commercial land. Commercial land which is not used efficiently or owned by foreign nationals can be expropriated against compensation and allocated to landless Namibians. The Ministry for Land, Resettlement and Rehabilitation has to identify such farms and to establish the level of compensation. The purchase of farm land by foreign nationals will be restricted but other investments by foreigners are encouraged.
November The Namibian Government negotiates with the Consolidated Diamond Mines (CDM) an agreement that gives the state a 50% share in the company. CDM becomes the Namdeb Diamond Corporation. This agreement, together with the creation of the Export Processing Zone (EPZ) at Walvis Bay, creates hopes for increased employment and state revenue. The EPZ has the objective to foster new investments. It grants considerable tax reductions and does away with some clauses of the Labour Act (Act No. 6 of 1992). One of the first EPZ investments is one of the Egyptian firm Pidico which, however, never materialises.
09.11. The Deputy Minister for Works, Transport and Communication, Klaus Dierks, signs with representatives of the German Ministry of Transport in Bonn (Germany), in presence of the three concerned airlines (Air Namibia, Lufthansa and the private German airline LTU), a new Memorandum of Understanding which is based on the international principle of reciprocity. Air Namibia (General Manager: Keith Petch) regards this memorandum as unfair and goes even so far to put newspaper advertisements against the Government, the 100% shareholder in the airline.
06.12. President Sam Nujoma visits South Africa. He agrees with SA President Nelson Mandela that South Africa should write off colonial debts to Namibia. The South African Cabinet approves this on 08.12.
07.12. The purchase of an official aeroplane for the Prime Minister (N$ 6,5 million) is announced. The Ministry for Works, Transport and Communication is not involved in the process.
07./08.12. The general elections for the National Assembly and the Office of the President take place. SWAPO increases her majority to 53 seats and 73,89% in the National Assembly (41 seats and 57,3% in the 1989 elections) and reaches more than a two-third majority in the National Assembly. Thus, SWAPO is now able to change the Namibian Constitution.
13.12. The election results are official announced, after some delays were encountered, caused by technical problems in the four northern regions. The first direct election for the Office of the President results in 76,3% for President Sam Nujoma. The President of the DTA, Mishake Muyongo, gets only 23,7% of the poll. The DTA reaches only 15 seats or 20,5% in the National Assembly (1989: 21 seats or 28,6%). It is clear that the DTA still has got the image of a Quisling-Party of the former South African colonial administration. Further parties are the UDF of Justus 5Garoëb with two seats (1989: four seats), the ACN (now Monitor Action Group (MAG)) of Kosie Pretorius with one seat and the newly formed DCN of Moses Katjiuongua with one seat. SWANU doesn’t make it into the National Assembly. The poll is 76,1% (1989: 97%).
15.12. The German Ambassador, Hanns Schumacher and Klaus Dierks commission the second to final stage of Namibia’s link to her landlocked countries in the east and the north, the Trans Caprivi Highway from Divundu at the Okavango River to a point 100 km east of the river.
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