The E1.65 billion investment pledge by Azerbaijani businessman, property developer and recording artist, Emin Agalarov, is a significant announcement and provides a much-needed investor confidence boost for the country. What struck me more, though, was what was contained in the King’s reaction to it.
The pledge, announced during a dinner at the Royal Theatre Night held at the Ezulwini Palazzo International Convention Centre (ICC) on Saturday, came amid growing concerns about the country’s ability to attract investors and create jobs for our youth.
Speaking to over 1 500 guests, Agalarov said: “From today onwards, I consider this my second home and I look forward to returning. Most importantly, I felt truly fortunate, a once-in-a-lifetime opportunity to spend my evening and dinner with all of you, particularly alongside His Majesty, engaging in a wonderful conversation about the prosperity of this nation. As a small contribution on my part, I am pleased to announce a US$100 million (E1.65 billion) investment.”
The King commended the businessman, whom he called ‘Eminem’, as well as the Azerbaijan president, government and people for the friendship and hospitality extended to him during a recent visit. He also shared his visit to Agalarov’s Sea Breeze Resort and Residences, a Caspian Sea development featuring hotels, residential properties, restaurants and recreational facilities, encouraging emaSwati to visit the resort to appreciate the businessman’s achievements firsthand.
Beyond this significant pledge, however, was the candid context provided by His Majesty the King when appreciating the gesture. The King openly acknowledged the scepticism that lingers across the country regarding investment announcements over the years that ultimately vanished into thin air.
“Our aim tonight is to mobilise many more investors, as we hope to see others follow Emin’s example. As he rightly said, this initiative is just the beginning. People often say that they hear many commitments and announcements that never come to fruition. However, based on my experience and what I have seen of his track record in other business ventures, I am extremely confident,” assured His Majesty at the dinner.
By stating that he was personally willing to back Agalarov based on his track record, the King effectively put his own credibility behind this deal. In doing so, he issued an implicit, urgent challenge to government to ensure this commitment comes to fruition and break the cycle of empty promises.
The challenge facing Eswatini is not a lack of investor interest, but a failure of execution. In fact, the country has seen several investors set up locally. The major challenge is that the rate of securing FDI has not kept up with the demand for jobs for the thousands of graduates entering the job market each year.
The Prime Minister, Russell Dlamini, recently conceded in Parliament that the country’s escalating unemployment crisis is continuously exacerbated by internal frustration. In responses to questions on his office’s second-quarter performance report, the PM told MPs that potential investors routinely arrive with capital and intent, only to give up and take their projects elsewhere due to sluggish procurement processes, corruption and a bureaucratic mindset among civil servants. “Several people come with interest to invest in the country and because of frustrations in government, they give up and go and invest somewhere else. This reality has robbed Eswatini of thousands of jobs,” the PM stated.
Despite acknowledging these challenges, the PM said government remained committed to tackling unemployment through infrastructure development, mega projects and support for small and medium enterprises (SMEs). The worrying challenges that need to be addressed are also highlighted by the World Bank’s Business Ready (B-READY) framework, which assesses national economies by examining statutory regulatory quality, the strength of public services and infrastructure and practical operational efficiency on the ground.
Eswatini boasts impressive operational speed once on the ground, ranking 47th globally out of 101 economies. However, according to the assessment, that advantage is severely undermined by glaring weaknesses in public service infrastructure and statutory regulation, where the country languishes in 76th and 80th place, respectively.
This clearly shows that Eswatini has the natural ability to attract investors, but administrative bottlenecks and regulatory red tape act as a self-imposed handbrake on this endeavour. If government is to honour the King’s backing of Agalarov’s pledge and safeguard future major prospects like the anticipated E6 billion Taiwanese industrial park, it must move aggressively to address these stumbling blocks.
Firstly, government needs to streamline its regulatory environment. For a country of our size, an overabundance of regulatory bodies creates unnecessary friction. We must establish a seamless end-to-end ‘one-stop-shop’ that supports an investor through a business’s entire operational lifecycle.
Secondly, civil service accountability must be enforced so that officials who stall legitimate projects are held directly answerable for the jobs lost on their watch. Finally, restoring investor trust requires absolute integrity in the rule of law. We commend His Majesty for appointing Acting Chief Justice Mumcy Dlamini. This appointment must mark a turning point in the Judiciary, to be followed swiftly by aggressive prosecution of corruption cases that destroy investor confidence. Let us provide her all the necessary support because she cannot do it alone.
His Majesty has shown the courage to confront public scepticism directly and extend his trust to visionaries willing to invest in our people. It is now up to Cabinet, the civil service, the Legislature and the Judiciary to build an execution culture worthy of that trust. Turning empty promises into tangible jobs is no longer just an economic goal; it is a national imperative on which thousands of lives depend.
