Mbabane- Eswatini’s improved fiscal discipline has transformed the country’s investment outlook, creating new opportunities for private sector growth while presenting government with the challenge of maintaining economic sustainability, Minister of Finance Neal Rijkenberg has said.
Speaking during a panel discussion at the OPEC Fund Development Forum 2026 in Vienna, Rijkenberg outlined how a series of fiscal reforms has repositioned Eswatini from being viewed as a high-risk investment destination to one increasingly attracting investor confidence.
The minister said the country emerged from nearly two decades of sluggish economic growth averaging about two percent annually, accompanied by weak international credit assessments and unfavourable reports from international financial institutions.
“We focused on improving our image as a country,” Rijkenberg told delegates. “About four years ago, we started getting it right by addressing the issues that had consistently been highlighted in our IMF Article IV consultations.”
Among the reforms, he said, were measures to contain the public sector wage bill, reduce the fiscal deficit from 7.5 percent to around two percent, strengthen fiscal sustainability and establish a stabilisation fund to cushion the economy against fluctuations in Southern African Customs Union (SACU) revenues.
He added that improvements in governance and the country’s international standing also contributed to restoring investor confidence.
The reforms, according to Rijkenberg, have yielded tangible results. Eswatini received a credit rating upgrade from Moody’s, while its bonds listed on the Johannesburg Stock Exchange were elevated from junk status to investment grade, significantly improving access to international finance.
The improved financial standing has coincided with stronger economic performance, with the country’s average GDP growth increasing from about two percent to around five percent over the past three years.
Rijkenberg said the strengthened economic outlook has unlocked financing for the private sector, enabling businesses to access capital that had previously been unavailable.
At the same time, government has gained greater access to funding, creating opportunities to accelerate development projects.
However, he cautioned that the availability of more resources also presents a major policy challenge.
“The temptation to move away from the sustainable path is brutally difficult to maintain because the country has many pressing needs,” he said. “The challenge is ensuring that we continue maintaining fiscal sustainability while creating the conditions for the private sector to keep growing,” he stressed.
He noted that preserving fiscal discipline despite increased spending pressures would be critical to sustaining economic growth and maintaining investor confidence.
The OPEC Fund Development Forum brings together finance ministers, development partners, policymakers and business leaders to discuss strategies for financing sustainable development and economic transformation across emerging economies.
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