The Ministry of Housing and Urban Development has dismissed allegations that about E1 million in Mbabane Municipal Council funds allocated to the Eswatini Urban Forum was intended to be stolen, insisting that the money was requested through an official short-term loan arrangement.
In a statement issued by Principal Secretary Dr Simon Zwane, the ministry refuted allegations published by an online platform claiming that the council’s Chief Executive Officer and her alleged boyfriend were plotting to steal ratepayers’ money and channel it towards the hosting of the Eswatini Urban Forum. “The ministry categorically refutes the allegations of theft, misappropriation, or any improper conduct regarding the funds allocated for the hosting of the Eswatini Urban Forum,” Zwane stated.
He described the claims as false and misleading, arguing that they misrepresented what he said was a standard intergovernmental administrative arrangement. According to Zwane, the E1 million transaction was neither fraudulent nor an unauthorised diversion of ratepayers’ money. He clarified that the Ministry of Housing and Urban Development, rather than the minister, formally requested the funds from the Mbabane Municipal Council in writing as a short-term loan.
He said the ministry’s administration arranged the loan to meet immediate logistical requirements for hosting the Eswatini Urban Forum, which is being held at the Ezulwini Palazzo International Convention Centre. Zwane further assured Mbabane residents and ratepayers that the money would be fully reimbursed to the municipality in accordance with the written agreement. “As stipulated in the official written request from the ministry, these funds are a loan that will be fully reimbursed to the Mbabane Municipality,” he said.
He added that the arrangement was made with the understanding that the ministry would return the funds, ensuring that Mbabane ratepayers did not suffer any financial loss. The Principal Secretary also maintained that the transaction was properly documented, dismissing suggestions that the money had been released through an informal or unauthorised arrangement.
According to Zwane, the ministry formally wrote to the council to request the loan before the funds were released. “There was never any phone call between the minister and the Mbabane Municipal Council CEO,” he stated, emphasising that the process was handled through official administrative correspondence. The ministry said it remained committed to transparency, accountability and the prudent use of public funds, while condemning the portrayal of the transaction as a criminal act.
“We strongly condemn the framing of this legitimate administrative procedure as a criminal act and reject the sensationalist and defamatory narrative presented in the article,” Zwane said. He reiterated the ministry’s assurance that the money would be reimbursed as agreed and that the Eswatini Urban Forum would proceed as planned.
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