The land conference must ensure that "whatever reforms" are adopted to address past inequalities do not diminish property rights, and must promote secure land tenure to maintain economic growth and development.
These comments were made by the deputy governor of the Bank of Namibia, Ebson Uanguta, during his presentation on the economic impact of several proposals on land reform adopted by various regions before the second national land conference.
The land conference, currently underway in Windhoek, is tasked with reviewing past resolutions regarding land reform, taken at the first national land conference in 1991, to find lasting solutions to the land question in the country.
Several regions, including Khomas and //Karas, proposed that the land conference should pass resolutions to allow the government to expropriate land from absentee landlords without compensation.
The Khomas region also proposed a review and the regulation of interest rates charged by commercial banks to make housing affordable.
The proposals to expropriate farmland without compensation from absentee landlords was also supported by former Presidents Sam Nujoma and Hifikepunye Pohamba on Monday.
Nujoma and Pohamba furthermore proposed the nationalisation of all land (commercial and communal) in the country, and that no foreigners should own land. There are currently about 250 farms owned by foreigners in Namibia.
While there is a call to take away land without compensation, Uanguta said such a proposal would diminish the security of property rights, and could negatively affect the country's economic growth.
He said Namibians must be cautious and only consider any "policy or measures to address the problems of those who are dispossessed and affected by inequality" within the ambit of the Constitution.
According to him, the issue of property rights, as provided for in the Constitution, needs to be maintained and enforced because without that security, investors would not want to invest in an enterprise where property rights are not secured.
"Well-defined property rights are the most basic necessity for a functioning economy, and the lack of them is the biggest drag on an economy. The less secured those rights are, the poorer the economy gets," Uanguta stressed, adding that there was empirical evidence which shows that the absence of clear property rights or secured land tenure inhibits investment, economic activities and growth.
The contribution of agricultural outputs to the gross domestic product (GDP) of the country currently stands at 4,3%.
This sector makes more significant contributions to the economy when it comes to employment, with about 20% or over 135 000 people of the total labour force employed in agriculture in 2016.
Uanguta said Namibia, therefore, stands to lose from "many angles if the land is not efficiently and adequately managed for productive purposes.
His sentiments on property rights were supported by the economic director in the finance ministry, Penda Ithindi, who said "whatever we do, we would want the reform to result in increased economic gains, such as increased employment, production, or growth per capita".
He added that all policies and resolutions to be taken at the land conference must ensure that the land is utilised productively and profitably.
Furthermore, Uanguta proposed that the land conference must ensure that the policies to be adopted must be geared towards increasing the investment and bankability of communal land and resettlement farms.
