The Bank of Namibia and South Africa's Reserve Bank have signed a revised Memorandum of Understanding to strengthen cross-border cooperation and financial stability.

The agreement was signed in Pretoria by the two governors, Ebson Uanguta and Lesetja Kganyago, respectively, during Uanguta's courtesy visit there.

According to a statement issued by the Bank of Namibia, the 2015 revised memorandum of understanding reflects developments in the financial sectors of both countries.

The agreement is designed to enhance cross-border supervisory coordination, improve crisis preparedness and protect depositors in both jurisdictions.

The Central Bank of Namibia's governor said the agreement recognises the interlinkages between Namibia and South Africa's financial markets and economies.

Ebson Uanguta says it also establishes a formal framework for cooperation in central banking, supervision, regulation and resolution planning of financial institutions and groups with cross-border operations.

Uanguta said the signing reflects the enduring and constructive relationship between the two central banks.

He added that an increasingly complex global environment marked by digital transformation and emerging risks and regional cooperation are essential to strengthening resilience and safeguarding financial stability.