Swaziland’s economic growth has been slowing since 2013; The World Bank Group’s Doing Business (2017) report ranks Swaziland 111th out of 190 countries in the overall ease of doing business and has been classified as a lower middle-income country. Growing economies and greater foreign investment to create jobs and raise living standards, and such developments are much needed in Swaziland.
As of December 2016, there are around 800 Indians in Swaziland, of whom about 300 are Indian citizens and 500 are people of Indian origin that have acquired Swazi citizenship. The Indian community is primarily involved in the business. The country has also seen an increase in Chinese businesses taking over the streets making it every corner, an Asian Corner. The uncontrollable influx of Asian businesses in the country has become a huge issue and has caused the Cabinet to issue a directive for the full enforcement of The Trading Licenses regulations. The Trading License Regulation of 2006 schedule A (e) together with schedule B(2)(2), which propose that before foreigners can set up a business or store they should have an asset value of 2 million to 5 million with a staff complement of 11-50 people and an annual turnover of 8 million.
The Parliament of Swaziland have found evidence in their ongoing investigation on the residence permits scandals at the Home affairs that the Asians abuse the company registration process to acquire work and resident permits. The investigation also proved that by the time foreign investors arrive at the airport, they find their companies already incorporated work and resident permits in order, which is an anomaly in itself. The LSS sat with the registrar last week to discuss the overwhelming evidence presented by Parliament and how it has been affecting Swazi Lawyers by putting them into the spotlight as many of these documents and companies are commissioned by them while the Directors had never set foot in Swaziland.
It has also been said that Foreigners use Swazi companies to also violate s211(4) of the constitution pertaining to the vesting of land ownership as they use Swazi’s to register companies, then buy land and thereafter acquire all the shares and then call upon the Swazis to resign in order to evade the above section. Foreign nations have also been called upon to also enforce fully the Trading License order no 20/2016 namely, “The Reservation of Certain Trade Businesses for Swazi Citizens regulations” under section 20.
