“The provisions of this Act apply to such credit contracts or categories of credit contracts that the Minister may set from time to time by notification to the Official Journal: provided that the Minister is not entitled to apply these provisions to credit contracts whose form is not applicable, in advance, in accordance with the AG 67 communication of 27 May 1981 (communication 1981) , the provisions of the Credit Contracts Act apply only to credit transactions with a cash price of N$100,000 or less. However, the amendable law removed the entirety of the 1981 communication, including provisions limiting the cash price to N100,000 or less. From now on, the provisions of the Credit Contracts Act therefore apply to all credit contracts, regardless of the cash price. Whereas the Credit Contracts Act previously excluded agreements in which the debtor became the owner of the property or re-established the ownership or use of the goods of the definition of “rental-sale,” the amending law explicitly included these types of credit contracts in the definition. This means that the categories of credit contracts under the definition of “credit transaction,” and thus the application of the law, have been extended to these types of transactions. The Namibia Credit Agreements Act 75 of 1980 (Credit Agreements Act) has recently been significantly amended. The amendments to the Credit Agreement Amendment Act 3 of 2016 came into effect on August 1, 2016. The Credit Contracts Act regulates certain transactions in which personal property is leased or purchased on credit or certain services are provided on credit and sets limits on the amount of deposit payable and the duration of the repayment period for selected leasing or credit transactions. The amendable law was passed to achieve a general reduction in the credit transactions of ordinary Nibibian citizens, many of whom live beyond their financial means and thus go into debt with credit contracts. It aims to: (i) change the definition of “rental”; (ii) law enforcement; and (iii) possible penalties to be applied in the event of an infringement. The amendable law was passed to achieve a general reduction in the credit transactions of ordinary Nibibian citizens, many of whom live beyond their financial means and thus go into debt with credit contracts. It aims to: (i) change the definition of “rental”; (ii) law enforcement; and (iii) possible penalties to be applied in the event of an infringement. The Credit Contracts Act regulates certain transactions in which personal property is leased or purchased on credit or certain services are provided on credit and sets limits on the amount of deposit payable and the duration of the repayment period for selected leasing or credit transactions.

In the past, the provisions of the Credit Contracts Act did not contain agreements on certain sectors, namely mining, mechanical construction, construction, road construction or manufacturing.