The RFA held its annual AGM on 01 November 2021, with the shareholder represented by the Minister of Finance, Hon. Ipumbu Shiimi and his acting Executive Director Mr. Francois Brand. The RFA was represented by its Board members, Chief Executive Officer and Executive Management.
In her address to the shareholder, the chairperson of the RFA Board of Directors, Dr Emma Haiyambo, informed the meeting that despite the tough economic environment due to COVID-19 pandemic, the RFA’s performance during the 2020/2021 Financial Year (FY) remained on track and consistent with its approved five-year Integrated Strategic Business Plan (ISBP) 2019-2024. However, revenue decreased year-on-year from N$2.3bn to N$2.2bn (4.3%) due to the impact of Covid-19.
The Chairperson highlighted that, “The RFA managed to strengthen its solvency and liquidity position through the capitalisation of the N$295 million Roads Authority (RA) head office building, whilst establishing a Reserve fund to the tune of N$152 million. Despite the economic headwinds and revenue compression, the RFA managed to increase funding towards the management and maintenance of national road infrastructure by 0.6% from the previous Financial Year. RFA funded all programmed road maintenance work on the national road network as well as urban road and traffic related law enforcement as per the approved budget. RFA managed to increase funding for the national road maintenance expenditure to N$1.79bn compared to N$1.77bn in 2020 – which is beneficial in stimulating economic activity in the road sector, concluded Haiyambo.
Speaking on behalf of the shareholder Hon. Ipumbu Shiimi applauded the RFA board and management on the organisation’s prudent financial management practices and unqualified audit opinion received for the sixth consecutive year. He further encouraged the board to ensure the RFA operates in a manner that promotes long-term success for the road sector and to maintain unquestionable corporate governance practices.