Eswatini’s path to economic transformation
By Delisa Magagula
In a critical step toward shaping Eswatini’s economic future, the consultations for the Country Strategy Paper (CSP) 2025-2030 have brought to light a unified call for structural transformation.
Held in March and November 2024, these consultations, led by the Regional Development and Growth Strategy (RDGS),
brought together government ministries, private sector leaders, and development partners (DPs), all focusing on a common objective: accelerating Eswatini’s economic evolution.
According to the consultations for decades, Eswatini has grappled with a key impediment to its growth, the slow progress towards higher-value production.
This stagnation has stifled the country’s potential to diversify its economy, perpetuating its dependency on low-value industries and limiting its ability to adapt to global economic shifts.
The stakes are high, as the nation continues to miss out on opportunities for sustainable economic growth and inclusive development.
The consultations whic are now in the Country strategy paper 2025-2030 report and highlights from 2024 country portfolio performance review, underscored that this challenge has persisted far too long, and the time for change is now.
Worth mentioning is that the CSP mission team proposed an aggressive strategy to tackle this economic bottleneck, accelerating structural transformation.
This means pushing beyond traditional economic models and pursuing strategies that diversify the economy, enhance resilience, and build competitiveness.
“Stakeholders overwhelmingly endorsed this approach, recognizing that the key to long-term prosperity lies in moving away from outdated systems and embracing a more diversified and innovative economic model,” states the report.
The consultations revealed clear agreement on the need to focus on two strategic priority areas, both seen as essential for driving the country’s transformation:
1. Investing in Climate-Resilient Infrastructure: This is a crucial step for Eswatini’s long-term sustainability. Investments in transport, energy, and water and sanitation infrastructure will lay the groundwork for a modern economy.
Climate resilience is non-negotiable in a world increasingly vulnerable to environmental shocks, and these infrastructure projects will safeguard Eswatini’s future while enabling economic growth.
2. Strengthening Competitiveness: A thriving private sector is essential for the country’s economic revitalization.
Stakeholders agreed that boosting private sector development from entrepreneurship to large-scale industry must be a priority.
Enhancing competitiveness will allow local businesses to innovate, expand, and attract foreign investment, ultimately contributing to a more dynamic and diversified economy.
While the strategic priorities were widely supported, there was a strong consensus that achieving these goals requires enhanced coordination between the government, development partners, and the private sector.
Aid coordination must be more effective, ensuring that resources are deployed efficiently to support transformation efforts.
The success of this ambitious vision depends not just on the right priorities, but also on a more synchronized approach to development assistance.
Meanwhile the Government of Eswatini has expressed strong support for the CSP and commended the work of the Bank in facilitating successful consultations.
The government recognized the milestone achievements in driving the country’s socio-economic development and highlighted the importance of continued collaboration between stakeholders.
One key takeaway was the establishment of the Liaison Office, which the government sees as essential for strengthening the relationship between Eswatini and international partners.
As Eswatini’s portfolio grows, the government called for a bolstered presence at this office to ensure smoother communication and more impactful outcomes.
The CSP 2025-2030 consultations mark a pivotal moment in Eswatini’s economic journey.
There is no doubt that the country faces significant challenges, but there is also clear consensus on the path forward.
By focusing on climate-resilient infrastructure and private sector competitiveness, and ensuring improved coordination among all players, Eswatini has the potential to lay the foundation for a more inclusive, diverse, resilient, and competitive economy.
“The coming years will be crucial in shaping Eswatini’s economic future. With the right investments, collaboration, and commitment, the Kingdom has the chance to turn its economic challenges into opportunities for sustainable growth, inclusive development,” reads the report.