BUDGET: HOPE FOR 246 000 UNEMPLOYED PEOPLE

MBABANE – There is hope for some of the over 246 000 unemployed emaSwati as the Minister of Finance, Neal Rijkenberg, has tabled a budget that seeks to create more jobs.

This, he has done, through making an allocation of E6 billion towards projects that will create jobs for emaSwati. The minister, when he tabled the 2024/2025 Appropriation Bill, otherwise known as the budget speech, stated that together with Cabinet, their focus was on economic growth, which would then  translate to the creation of jobs for emaSwati. The minister mentioned that this year’s budget was themed ‘Nkwe for growth’.

Budget

“The theme of this year’s budget is Nkwe for growth! To hit the ground running and today I will present a budget that will enable and equip Eswatini to hit the ground running for economic growth and service delivery,” he said. Rijkenberg said government was poised to spend at least E29.42 billion in the 2024/2025 financial year, which had been distributed to various projects and ministries. He explained that this budget was fully funded, meaning the funds were provided at the outset for the total estimated cost of an item. Of this amount, over E6.336 billion will be channelled towards projects that will result in a significant proportion of the unemployed populace joining the working class.

Increased

The Capital Projects’ allocation has increased by E1 billion from the 2023/2024 National Budget. Key projects that have been singled out by the minister include the International Convention Centre (ICC), the Manzini/ Mpandze Highway, the Mpandze/Mbandlane Highway, the Nhlangano/Sicunusa Road, the Manzini Golf Course Interchange, LUSIP Phase II, the Biotechnology Park, Buhleni Police Station and the Shiselweni Network Reinforcement. Over E600 million had been allocated for the construction of Mpakeni, while taking a large chunk is the ICC with E1.1 billion.

Most of the outlined capital projects were started and are yet to be completed. The minister said prioritising the completion of existing projects should position the country to start seeing economic returns from the operationalisation of these projects, and create space in the capital budget for new projects going forward. The expectation is that the contractors who will be engaged to finish off the projects, would hire personnel, who will, in turn pay taxes to government and further have income for their livelihoods. Further, some of these projects upon completion would give birth to lifelong income generating projects for communities and further be used to create more jobs and further boost the economy of the country.

A breakdown of the funds allocated to the ICC shows that a loan of E360 693 would be acquired for interior works, and E749 307 000 local funds were for interior works, professional services, VAT and CIC levy. Further, E140 250 000 loan funds were allocated to complete the Five Star Hotel (FISH) building and E35 000 000 local funds for professional services, VAT and CIC levy of the hotel structure. When completed in 2024, and if managed well, this project should give the country 0.25 per cent growth in GDP in 2025, 0.75 per cent GDP growth in 2026 and 2027. “Two of our most pressing challenges remain poverty and unemployment. The only real way of sustainably addressing these is by growing the economy, which not only gets more people employed, but also creates more opportunities for emaSwati to get better employment. This in turn will lift our people out of poverty,” Rijkenberg said. He said in line with the National Development Agenda, the budget would address social challenges, build infrastructure and provide for economic growth.

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