Municipal Council of Mbabane strengthened its financial position during the 2025/26 financial year, with revenue increasing, cash reserves rising and borrowings falling by about 37 per cent, providing the Municipal Council with greater financial room despite mounting infrastructure and weather-related pressures.
The municipality reported overall revenue of E176.02 million for the year ended March 31, 2026, up from E167.08 million in the previous year.
Assessment rates remained the largest contributor, increasing from E155.86 million to E164.90 million. 
The improvement was recorded across both the private and government sectors, with private-sector assessment rates rising from E85.89 million to E91.59 million and government assessment rates increasing from E65.02 million to E67.90 million.
Penalties and interest also increased, rising from E4.95 million to E5.41 million. The stronger revenue position was accompanied by a significant improvement in the municipality’s finance income.
Finance income increased to E10.32 million from E6.82 million, while finance costs declined from E3.46 million to E2.37 million.
The result was net finance income of E7.96 million, more than double the E3.36 million recorded in 2024/25.
This helped Council move from an operating deficit of E1.08 million to an overall surplus of E6.88 million once the wider financial position was taken into account.
Cash and cash equivalents increased from E65.64 million to E75.93 million, while total borrowings fell by approximately 37 per cent.
The municipality’s balance sheet also remained strong. Total assets increased marginally from E801.15 million to E801.99 million, while total equity rose from E719.54 million to E726.42 million.
Council also generated positive cash flow from its core operations, recording a net cash inflow of E31.11 million from operating activities during the year.
The financial results were accompanied by a clean audit outcome, with PricewaterhouseCoopers issuing an unmodified audit opinion on the Annual Financial Statements.
The opinion confirms that the financial statements were prepared, in all material respects, in accordance with the stated basis of accounting, giving further assurance over the municipality’s reported financial position.
Council says it remains satisfied that it is in a “sound financial position” and has adequate financial resources to continue operating for the foreseeable future, with access to sufficient borrowing facilities.
