Economic transformation blueprint

His Majesty King Mswati III, not only delivered a speech from the sovereign, but delivered an economic transformation blueprint. As we await to hear the budget this week, we are keenly waiting to see how much of the directives have been taken into consideration. It is now incumbent on cabinet and government machinery to push the strategy through. His majesty has already prepared the strategy, all that is left is operationalise it and usher in an era of economic transformation and build a resilient, diversified and high-income economy capable of delivering prosperity for all emaSwati.

Structural transformation: One of the central pillars of the transformation blueprint is reducing dependency on revenues from SACU. While SACU receipts have supported fiscal stability over the years, they remain volatile and externally determined. An overreliance on such revenue constrains policy flexibility and exposes the economy to regional shocks. As a new normal, the country must diversify revenue streams across productive sectors of the economy. The target of nurturing at least 10 domestic companies with annual turnovers exceeding E10 billion, should be a call towards building national industrial champions. This will ensure that external shocks to the economy are minimised and improve the multiplier effect since domestic industries will likely support local sourcing.

Industrialisation and infrastructure-led growth: Infrastructure remains the backbone of transformation. Strategic investments such as the International Convention Centre (ICC), the E8 billion Taiwan industrial park, expanded road networks and the Strategic Oil Reserve reflect a deliberate state-led push to crowd in private investment. The oil reserve, once completed, will enhance energy security and shield the economy from supply disruptions. This will ensure that commerce in the country can be conducted in a stable and predictable environment. Furthermore, the call to generate 50 per cent of the country’s energy needs domestically by 2030 ensures that we have the power to drive growth into those energy-reliant industries such as data centres for artificial intelligence.

Conducive business environment: Sources of long-term growth come from improved productivity in the private sector and creating an environment where business can innovate is crucial. It is imperative that we position the kingdom as an ideal destination for businesses and this requires concerted efforts to improve the business environment. A competitive economy requires a competitive business climate. Eswatini’s recognition among the top 10 African countries in the World Bank’s Business Readiness rankings is a positive signal. Reforms such as the Business One-Stop Shop simplify regulatory processes and reduce administrative bottlenecks. However, His Majesty calls for more action, where we create a culture of enterprise in the kingdom. This includes, strengthening financial sector architecture, improving access to credit for small and medium enterprises, enhancing property rights enforcement and encouraging private sector participation in public projects.

Agriculture, food security and climate resilience: Agriculture remains both a livelihood sector and a strategic pillar of food security. While progress has been made, full self-sufficiency remains elusive. Climate variability, including droughts, floods, and livestock diseases such as foot-and-mouth disease have exposed structural weaknesses. The transformation blueprint prioritises climate resilience, irrigation expansion, farmer subsidies for subsistence production and reliable market systems that convert agricultural output into tangible income. Modernisation, value addition and agro-processing must replace subsistence-oriented production models. Agriculture must evolve into agribusiness.

Mining and value addition: Eswatini is endowed with mineral resources, yet mining’s contribution to GDP remains below potential. The blueprint calls for deeper exploration, policy review and beneficiation strategies. Exporting raw minerals limits revenue and employment multipliers. Establishing processing zones to produce finished goods aligns with continental trade objectives and strengthens foreign exchange earnings. Industrial transformation will depend on moving up value chains rather than remaining at the extractive stage.

Human capital and social investment: Economic transformation cannot occur without human transformation. Education reforms aimed at aligning curricula with global trends and national development priorities are central. Digital literacy, technical training and innovation skills must prepare the youth for a technology-driven global economy. Now that his Majesty has commanded, the nation hopes that the problem of drug shortages will be resolved swiftly.

Youth empowerment and inclusive growth: Youth unemployment remains a structural challenge. Funds targeting youth entrepreneurship and factory shell programmes designed to attract foreign direct investment offer pathways to job creation. Inclusive growth also requires strengthening the Regional Development Fund to stimulate rural enterprise and reduce urban migration pressures. Economic transformation must occur not only in urban centres but across constituencies nationwide.

Governance, accountability and stability: Sustained growth depends on institutional credibility. Stable governance, respect for constitutional frameworks and adherence to regional commitments under bodies such as the Southern African Development Community provide policy predictability, a key determinant of investor confidence. Peace and stability remain our strongest comparative advantage. The transformation blueprint leverages this stability to attract long-term capital and strategic partnerships.

Road to a higher-income economy: Raising GDP per capita to E480 000 reflects more than a target; it signifies structural transformation towards productivity, better wages, technology advancement and export strength. Achieving it requires fiscal discipline, strategic investment, institutional reform and patriotic collaboration among government, private sector, partners and citizens to drive sustainable, inclusive growth.