A Major EU Commitment to Namibia
On September 19, 2025, the European Union announced a pledge of approximately €1.3 billion in financing for Namibia. The funds are earmarked to support the development of green hydrogen projects and critical minerals processing facilities, consolidating Namibia’s role as a strategic partner for Europe in clean energy and raw material supply chains. The announcement reflects the EU’s Global Gateway strategy, which seeks to strengthen sustainable infrastructure and resource partnerships beyond its borders.
Linking Hydrogen and Minerals
The pledge is designed to advance two complementary goals: establishing Namibia as a leading African hub for green hydrogen production and ensuring that critical minerals such as lithium, cobalt, and rare earths are processed locally rather than exported in raw form. By combining energy and mining investments, the EU aims to create synergies that reduce carbon footprints, generate skilled jobs, and embed more value within Namibia’s economy. Officials highlighted that the initiative will also provide technology transfer and capacity-building to support industrial development.
Geopolitical and Market Implications
For the EU, the investment carries strategic weight in a world where access to clean energy and critical minerals is increasingly tied to geopolitical competition. Strengthening ties with Namibia helps diversify supply chains away from overdependence
on China while reinforcing Europe’s credibility as a partner in Africa’s green transition. For Namibia, the financing could transform its role from resource exporter to industrial player—provided governance, infrastructure, and local participation keep pace with the scale of investment. The deal is thus a test case for whether Global Gateway can deliver both European security and African development.