BY MBONGENI NDLELA
LOBAMBA – The 2025/26 National Budget, presented by Minister of Finance Neal Rijkenberg, places a strong emphasis on economic growth by significantly increasing capital expenditure.
The budget seeks to accelerate infrastructure development, job creation, and economic transformation.
A notable highlight of this year’s budget is the 14.4% increase in capital expenditure, which government believes will boost economic growth.
Minister Rijkenberg outlined that funds have been earmarked for projects such as road construction, renewable energy expansion, and digital connectivity improvements.
“The government is making a deliberate effort to ensure that infrastructure projects drive our economic transformation. Investing in roads, energy, and ICT will make Eswatini a competitive destination for business and investment,” Rijkenberg stated.
The private sector is also expected to play a significant role in economic expansion. The budget proposes new incentives for small businesses and tax reforms that encourage entrepreneurship.
“Our focus is on creating an enabling environment where businesses can thrive, thereby creating sustainable employment opportunities,” the Minister added.
However, challenges remain. The fiscal deficit stands at E2.88 billion, and the government will have to ensure that spending remains efficient to maintain economic stability. Despite this, the increase in non-SACU revenue sources is expected to mitigate the reliance on customs receipts, creating a more diversified revenue base.
Budget Breakdown:
- Total Budget: E32.61 billion
- Revenue & Grants: E29.72 billion
- Appropriated Recurrent Expenditure: E22.25 billion
- Appropriated Capital Expenditure: E7.25 billion
- Fiscal Deficit: E2.88 billion
The budget’s strategic direction towards growth is expected to enhance service delivery, reduce unemployment, and improve the standard of living for emaSwati. The government remains optimistic that these efforts will yield long-term economic prosperity.
