The World Bank has approved a $100 million development policy loan to bolster Eswatini’s economic reform agenda, focusing on fiscal governance, private sector development, and energy security while enhancing climate resilience. The funding, greenlit by the World Bank’s board on Wednesday, is the first of a two-part series addressing structural barriers to the southern African nation’s growth and poverty reduction.

Satu Kahkonen, World Bank Division Director for Eswatini, stated that the loan aligns with Eswatini’s National Development Plan (2023–2028) and Programme of Action 2024. “This operation supports key priorities like youth employment, digital transformation, and sustainable energy, all essential for inclusive growth,” Kahkonen said.

The reforms target three main pillars: strengthening fiscal and public financial management, boosting private sector competitiveness, and accelerating renewable energy development alongside climate resilience. Key measures include enhancing debt transparency, optimizing public spending, promoting digital payment systems, and expanding export market access for local firms.

Building on a prior World Bank financing series (2021–2022) and ongoing technical support, the operation aims to drive sustainable progress. Eswatini’s Finance Minister, Neal Rijkenberg, welcomed the loan, emphasizing its alignment with the government’s agenda, shaped by the Sibaya People’s Parliament, to create jobs, spur growth, and improve service delivery. “We welcome the World Bank’s support as we work to uplift the livelihoods of EmaSwati and deliver on our development objectives,” Rijkenberg said.

The policy actions are also set to attract private capital, expand energy access, and strengthen Eswatini’s resilience to climate-related challenges, supporting long-term economic stability.