Mbabane- Eswatini’s capital market assets climbed to E49.68 billion in the second quarter of 2026, with retirement funds accounting for more than seven in every 10 emalangeni of funding, while retail investors contributed less than 5%.
The market grew from E46.58 billion in the first quarter, an increase of 6.65%, and was 21.15% larger than the E41.01 billion recorded in the corresponding period last year, according to figures reported by the Financial Services Regulatory Authority (FSRA).
Retirement funds accounted for 72.06% of total capital market funding, far exceeding the 10.92% contribution from companies and the 4.68% attributed to retail investors. Collective investment schemes accounted for 5.80%, while other sources contributed 6.01%.
The funding profile places retirement savings at the centre of Eswatini’s investment market, while individual retail investors remain a comparatively small source of capital. The figures, however, do not establish why retail participation remains low.
The FSRA’s second-quarter 2026 Quarterly Statistical Bulletin also recorded growth in assets under management, which increased by 7.21% to E11.48 billion from E10.71 billion in the previous quarter. Assets under advisory rose by 6.50% to E38.20 billion from E35.87 billion.
The expansion coincided with an improvement in listed equities. The Eswatini Stock Exchange’s All-Share Index gained 1.64%, rising from 493.16 points to 501.25 points, while market capitalisation increased from E6.932 billion to E7.046 billion.
Nedbank Eswatini’s share price rose from E16.50 to E17.20, while Royal Eswatini Sugar Corporation advanced from E17 to E18.
Investment allocations remained weighted towards the Common Monetary Area (CMA), which accounted for 47.12% of portfolio investments. Domestic assets represented 40.33%, with offshore investments accounting for the remaining 12.55%.
Domestic holdings increased by 3.03% during the quarter, while offshore positions declined by 3.07%.
The bond market presented a mixed picture. Outstanding government bonds increased by 0.97% to E7.748 billion from E7.673 billion, following five new issuances, four reopenings and two maturities.
Corporate bonds moved in the opposite direction, with outstanding balances falling by 8.67% to E1.861 billion from E2.114 billion. Although six new notes entered the market, 10 reached maturity during the quarter.
The figures were highlighted by FSRA General Manager of Market Conduct Zama Dlamini during the commemoration of the 10th edition of IOSCO World Investor Week.
The overall increase in capital market assets signals expansion in the reported value of investments, but the contrasting movements in corporate bonds and offshore holdings show that growth was not uniform across all market segments.
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