Members of Parliament (MPs) will over the next few weeks debate a total of four loan Bills amounting to over E5.8 billion.
The funds to be sourced through the loans are meant to finance Eswatini Road Infrastructure Improvement Programme Phase I and the Accelerating Sustainable and Clean Energy Access Transformation in Eswatini project.
The other two loans are meant to finance the Fiscal Management and Competitive Development Policy as well as the Accelerating Sustainable and Clean energy Access Transformation (ASCENT) project. Last week, the House of Assembly Finance Portfolio Committee chaired by Lobamba Lomdzala MP Marwick Khumalo tabled four reports on the loans for deliberation and possible adoption by the House.
Over a week ago, Minister of Finance Neal Rijkenberg tabled the International Development Association (Accelerating Sustainable and Clean Energy Access Transformation in Eswatini Project) Financing Bill, 2025 (Bill No.9 of 2025). The object of the Bill is to authorise the minister of finance to raise a loan not exceeding E660 million (EUR37 000 000) from the International Development Agency (IDA).
The loan Bill is meant for financing the ongoing rural electrification project. The minister reported that Eswatini had made significant strides, increasing electricity access from five per cent in 2003 to 88 per cent in 2024, a testament to government’s commitment to inclusive development.
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He stated that despite the progress, there was need to ensure that every Liswati has access to clean and modern energy by 2030 in line with Sustainable Development Goal 7 and National Energy Policy, 2018.
“It becomes important to fast- track the connection of the remaining households which are mainly in the rural areas.
Extending the connection to non-electrified urban and peri-urban areas will ensure that every Liswati has access to electricity by 2030,” said the minister. The minister also reported to the MPs that the ministry had successfully negotiated with representatives from the African Development Bank (AfDB) a loan not exceeding E2.5 billion (USD140 600 000)
The funds are for financing Eswatini Road Infrastructure Improvement Programme Phase I (ERIIP). He reported that government had prioritised the Lubombo and Shiselweni regions, which were among the poorest regions in the country, with high unemployment rates of 54.3 per cent, especially among youth and women.
He said the lack of reliable transport, infrastructure, among several contributing factors, had resulted in high transport costs that have hindered the region’s economic potential and restricted access to socio-economic services and jobs. He said to address the challenge, government, through ERIIP Phase I, intended to upgrade to paved standard, two key roads that traverse the regions, specifically the MR 14-Siphofaneni-Sithobela-Maloma-Nsoko (80.2 km) and MRN 14 Maloma Siphambanweni (25.7 km) roads.
He added that the project aimed to improve domestic and regional connectivity and mobility in urban and rural areas through investing in safe, efficient and cost-effective road infrastructure.
The minister said it was expected to open opportunities for economic activities, access to social economic services and jobs, ultimately contributing to poverty alleviation and economic development.
The specific objectives are to construct climate resilient physical infrastructure including roads and bridges as well as socio-economic infrastructure and support reforms and strengthen institutional capacities in the roads sub-sector.
The minister also reported that in line with the National Development Plan (2023/24-2027/28) and the Government Programme of Action 2023-2028, Eswatini had an ambitious reform programme to achieve a double-digit economic growth, through investment in multi-mega projects.
He said this in turn would reduce unemployment, reduce poverty, grow the economy and improve the lives of Emaswati.
He sad in terms of Section 55 of the Public Finance Management Act of 2017, he wished to present the international Bank for Reconstruction and Development (the Fiscal Management and Competitive Development Policy) Loan Bill, 2025 (Bill No.12 of 2025) which seeks Parliament’s approval to raise a loan not exceeding E1.8 billion (USD 100 million) from the International Bank for Reconstruction and Development (IBRD).
He further mentioned that the ministry of finance had successfully negotiated with representatives from the IBRD, a loan not exceeding E869 million (EUR48 300 000) for the financing of the Accelerating Sustainable and Clean energy Access Transformation (ASCENT) project.
The loan Bills are still subject to debate and adoption by the House.
