Home Business Inside Agriculture’s E2.02bn 2026/27 budget
Business

Inside Agriculture’s E2.02bn 2026/27 budget

Share
A total of E14.76 million in donor funds has been allocated for the establishment of a Smart Agriculture Demonstration Farm.
Share

MBABANE – Government has allocated E2.02 billion to the Ministry of Agriculture for the 2026/27 financial year.

This underlines a renewed push to expand irrigation infrastructure, strengthen livestock disease control, enhance smallholder productivity and accelerate climate-smart agriculture initiatives.

The funding envelope, contained in the budget estimates book delivered alongside the National Budget by Minister for Finance Neal Rijkenberg, positions agriculture as a central pillar of Eswatini’s food security strategy, rural economic development and climate resilience agenda.

At the heart of the allocation is a heavy emphasis on water security and irrigation infrastructure, with the bulk of loan funding channelled towards the construction of strategic dams and conveyance systems aimed at unlocking irrigated agriculture in key production zones.

The single largest allocation under the ministry’s development portfolio is E1.43 billion in loan funds earmarked for the construction of Mpakeni Dam and its main conveyance system.

This project is expected to significantly expand irrigated land in the Lowveld, unlocking commercial and smallholder agricultural production, particularly for high-value crops and livestock feed production.

Once completed, the dam and conveyance system will play a critical role in stabilising water supply for downstream irrigation schemes and agro-processing investments.

Complementing this is E177.17 million in local funding for the purchase of private farms, project management, chiefdom development plans, VAT and CIC levy payments under the broader irrigation and land development programme. This funding is designed to facilitate land acquisition for resettlement and agricultural expansion while ensuring that community structures and governance frameworks are aligned with irrigation development.

The budget estimates also reflect government’s focus on safeguarding the livestock sector, particularly in protecting export potential for beef.

Under the Eswatini Livestock Value Chain Development Project (ELVCDP), government has allocated E13.13 million in local funds for the replacement of the cordon fence used in foot-and-mouth disease control.

The fence plays a crucial role in maintaining disease-free zones, which are essential for protecting access to premium beef export markets.

In addition, E44.17 million in donor funds has been earmarked to support sustainable land management, value addition, processing and market linkages for beef enterprises. This component aims to move livestock producers beyond primary production into higher-value segments of the beef value chain, strengthening incomes and improving market access for both commercial and emerging farmers.

The Lower Usuthu Smallholder Irrigation Project Phase II Extension – Downstream Development programme has been allocated E2.99 million in local funds to facilitate project completion and handover.

*Full article available on Pressreader*

Share
Written by
Nhlanganiso Mkhonta

Nhlanganiso Mkhonta serves as Business Editor at the Times of Eswatini. He reports on business, economics, finance, investment, entrepreneurship and public policy, producing insightful coverage and analysis of the issues driving Eswatini’s economy and the wider African business environment.

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Don't Miss

Freezing cold kills cattle at Hawane

HAWANE – A brutal cold snap has killed cattle in Hawane, leaving smallholder farmers counting losses of more than E60 000. The losses...

DRC multi-sport club for ‘Birds’ takeover

MBABANE – A Democratic Republic of Congo (DRC) multi-sport club has agreed in principle to a takeover of Mbabane Swallows. Although the process...

AfDB-funded road project seeks 5% increase in Eswatini-SA-Moz trade

MBABANE – The AfDB-funded Road Infrastructure Improvement Programme Phase I is expected to increase trade volumes with South Africa and Mozambique by 5...

I never resigned from FSRA – Senzo

MBABANE – Senzo Hlatshwayo never resigned as chairman of the Financial Services Regulatory Authority (FSRA), the Times SUNDAY can reveal. Instead, he asked...

EEC within its rights to seek tariff hike- minister

MBABANE- The Eswatini Electricity Company (EEC) is within its rights to consider another tariff application, according to Minister for Natural Resources and Energy,...

Related Articles

CBE governor’s 4 priorities to shape financial system

EZULWINI - Central Bank of Eswatini Governor Dr Phil Mnisi has outlined...

EWADE’s Mpakeni Dam injects E739.2m into local businesses

MPAKENI – The economic impact of the under construction E2.6 billion Mpakeni...

NAMBoard enforces 24% edible oil levy

MBABANE - NAMBoard will from September 1, 2026 enforce a 24 per...

Agriculture holds major untapped value-chain wealth

MBABANE – Eswatini’s agriculture sector has significant untapped commercial potential, with maize,...