MBABANE – The Central Bank of Eswatini (CBE) recorded a 5.9 per cent increase in total assets in the year ended December 31, 2025.
The bank reflected a stronger balance sheet position underpinned by sustained investment activity, rising domestic liquidity and significant capital expenditure linked to the construction of its new headquarters complex in Ezulwini. According to the bank’s published Assets and Liabilities Position notice, total assets increased to E18.52 billion in 2025, up from E17.48 billion in the previous year. The expansion mirrors an equivalent rise in total equity and liabilities, highlighting balance sheet growth rather than structural imbalance. The improvement comes at a time when the Central Bank continues to balance its core monetary policy mandate with long-term institutional strengthening, including infrastructure modernisation and operational capacity enhancement. A major contributor to the asset expansion was the sharp increase in property, plant and equipment, which rose to E841.38 million in 2025 from E462.26 million in 2024 – an increase of more than 81 per cent year-on-year.
This substantial rise is widely attributable to the Central Bank’s ongoing investment in its new headquarters complex, commonly referred to as the CBE Complex, currently under construction in Ezulwini. The project represents one of the most significant institutional infrastructure investments undertaken by the bank since its establishment. In October last year, the Central Bank officially signed a fixed 34-month Engineering, Procurement and Construction (EPC) contract valued at E2.78 billion with Ingcebo Joint Venture for the construction of the 21-storey headquarters complex.
The project was initially priced at E2.97 billion, before the bank successfully negotiated a E190 million discount, underscoring a cost-conscious approach to capital expenditure.
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Foreign assets remain dominant
MBABANE – External assets continued to account for the largest share of the bank’s asset base, standing at E13.57 billion in 2025, slightly higher than the E13.06 billion recorded in 2024.
The position highlights the Central Bank’s continued emphasis on maintaining adequate foreign reserves to support currency stability, external obligations and confidence in the Lilangeni’s peg to the South African Rand.
Claims on the Government of Eswatini declined to E3.01 billion from E3.18 billion, suggesting reduced reliance by government on Central Bank financing during the year under review. This development aligns with broader fiscal consolidation efforts and efforts to strengthen public financial management. Claims on the private sector increased modestly to E80.54 million from E71.04 million, reflecting limited but targeted engagement with the domestic financial system. Other assets rose to E912.36 million, up from E608.73 million, pointing to diversification within the bank’s asset holdings.
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Capital, reserves decline year-on-year
MBABANE – Despite the growth in total assets, the bank’s capital and reserves declined to E1.43 billion in 2025 from E2.22 billion in 2024.
The decrease was largely driven by a sharp movement in the revaluation reserve, which shifted from a surplus of E687.05 million in 2024 to a deficit of E76.57 million in 2025. Revaluation reserves typically fluctuate in response to changes in asset valuations, exchange rate movements and market conditions, particularly in central banks with sizeable foreign asset holdings. The decline does not necessarily signal operational weakness, but reflects valuation adjustments within the reporting period.
Other reserve components remained relatively stable. The general reserve stood at E976.64 million, slightly lower than the E998.30 million recorded a year earlier, while the IMF/SDR underwriting reserve remained unchanged at E66.87 million. The building fund was steady at E50 million, highlighting continuity in earmarked capital allocations. On the liabilities side, the bank recorded notable increases across key categories, reflecting higher money supply and liquidity levels within the domestic financial system.
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