As the world's third-highest producer of uranium, the southern African nation should benefit from this resource to meet its own energy needs, President Netumbo Nandi-Ndaitwah told parliament.

"While I am not in a position to tell you when we will have a nuclear energy power plant in Namibia, I can assure you that the discussions will certainly begin this financial year," she said in her first state of the nation address since assuming office a month ago.

Uranium mines in the sparsely populated nation are estimated by the World Nuclear Association as capable of providing 10 percent of the world supply of the metal used in nuclear power production.

Namibia has long stated its interest in introducing nuclear power into its energy mix, which relies on imports, mainly from South Africa.

"The oil and gas sector holds the potential to transform our economy in the next five years," the president added, explaining her decision to move management of this portfolio directly into her office.

This would require building its first oil refinery, she said.

Investments in this sector -- which has attracted significant international interest -- would secure Namibia's energy supply and also drive electrification, job creation and growth, Nandi-Ndaitwah said.

Unemployment in the country of three million people stands at nearly 37 percent with growth slowing to 3.8 percent in 2024, down from 4.2 the previous year.

"Mining contributes 12 percent to our gross domestic product and over 50 percent of our foreign exchange earnings. Regrettably, this figure does not reflect the true potential of mining and our mineral resources," she said.

There was potential also in exploiting lithium, cobalt, manganese, graphite and rare earth elements, the president added.