To escape the resource curse, there are examples of countries that have successfully established Sovereign Wealth Funds, such as the Norwegian Government Pension Fund Global, which you will hear about later. 10. Early this year, Namibia launched its own Welwitschia Fund, managed by the Bank of Namibia under the auspices of the Ministry of Finance – before announcements of significant windfalls were realized.
With the Fund, we are better positioned to institute long-term oil and other natural wealth management. The Stabilization Account of the Fund will aim to insulate the budget and economy from commodity price volatility and external shocks to the Namibian economy. The Stabilization Account closely resembles "normal foreign reserve" assets to protect domestic economies against economic shocks through countercyclical positioning.