The Southern African Customs Union (SACU) has agreed in principle to establish a regional trust fund with an initial capital target of E5 billion from each member state to finance infrastructure development, industrialisation and job creation.
His Majesty King Mswati III announced the landmark decision during a media briefing on his return from the 9th SACU Heads of State and Government Summit in Cape Town, South Africa, describing it as one of the most significant outcomes of the meeting.
The King said the fund would enable SACU to move beyond its traditional role of collecting and distributing customs revenue towards actively financing projects that improve the livelihoods of citizens across the region. 
He said leaders deliberated on the common challenges facing member states, including poverty, unemployment, health, education and other social issues, and agreed that practical solutions were needed to stimulate economic growth.
“We looked at the challenges we face and agreed to establish a trust fund that will support infrastructure, industries that generate wealth and create jobs,” His Majesty said.
The King explained that the E5 billion contribution from each member state would serve as the fund’s starting capital, while discussions continue on how and over what period the contributions would be made.
He said once member states demonstrate their commitment by contributing to the fund,
SACU will seek additional financial support from development partners and other international stakeholders.
“When people see that you are committed, they understand what you are doing and they join in to assist,” the King said.
His Majesty said the initiative is expected to finance projects that create both large and small employment opportunities while strengthening the economies of SACU member states.
The summit also resolved that future negotiations on major international trade agreements should be undertaken collectively as SACU to strengthen the bloc’s bargaining position.
His Majesty said the decision would ensure greater unity in engagements on agreements such as the African Growth and Opportunity Act (AGOA), the European Union Economic Partnership Agreement and other international trade arrangements.
The King commended South Africa for hosting a successful summit and for the hospitality extended to all SACU delegations.
