Namibia has been in economic distress since 2016, the COVID-19 pandemic has amplified an already difficult operating environment, which resulted in an expected economic contraction of 7.8% for 2020. Sectors such as aviation, tourism and hotel & accommodation were amongst those most severely affected. This decceleration has resulted in significant financial distress for business entities of all shapes and sizes. While some signs have already manifested through the liquidations of various entities, both private and public, it is expected that there will be more to come. Namibia’s legislation and regulations as they pertain to businesses in financial distress can play a vital role to reduce the economic scarring expected during these hard times. In looking to support a thriving entrepreneurial culture, a forward-looking and positive legislative and regulatory framework, is necessary. A review of global legislative frameworks that deal with financially distressed entities, indicates a need for reform towards a more accommodating domestic framework. A good example of such legislation is the Chapter 11 of the United States Bankruptcy Code. When compared to Namibia’s Chapter 14 on Winding-Up of Companies in the Namibian Companies Act and other legislations, the domestic legislative framework provides maximum protection to creditors, with minimal consideration provided for the survival of the business itself. The Insolvency Act 24 of 1936 in South Africa was also amended in 2005 to incorporate similar provisions providing flexibility and alternatives for businesses in financial distress to liquidation. In anticipation of the risk of widespread liquidations in our economy, an urgent Business Rescue Task Force (BRTF), comprised of public and private sector players, will be established in the first quarter of the 2021/22 financial year, to review Namibia’s insolvency laws, with a view to recommend and implement amendments to applicable laws, regulations and policies that would cement business rescue as the preferred path to companies in financial distress and offer viable opportunities for efficient recovery. The BRTF will consider alternative funding instruments related to business rescue. A key objective of the review and thus the task force, will be to limit the number of jobs lost as a result of retrenchments and to safeguard a stronger entrepreneurial culture in Namibia. An initial draft of the review is expected by the fourth quarter of the 2021/22 financial year.