Mbabane- The Central Bank of Eswatini (CBE) has recorded a E266.6 million comprehensive loss, despite posting a E40.8 million profit for the financial year ended March 31, 2026.
The sharp difference between the regulator’s profit and its overall comprehensive result was largely driven by exchange-rate movements and valuation adjustments, according to the CBE’s 2025/26 Annual Integrated Report.
While the Bank’s operations generated a profit of E40.8 million during the year, changes in the value of its assets and other financial positions resulted in a comprehensive loss of E266.6 million.
The financial results were recorded against a year in which the CBE was operating in a challenging international environment characterized by geopolitical tensions, trade disruptions and risks to energy and food prices.
Eswatini’s real Gross Domestic Product (GDP) grew by an estimated 5.6 per cent in 2025, up from three per cent in 2024, while inflation moderated to an average of 2.6 per cent from 3.9 per cent in the previous year.
Against this backdrop, the CBE maintained an accommodative monetary policy stance, cutting its discount rate by 25 basis points from seven per cent to 6.75 per cent in May 2025.
Meanwhile, the country’s gross official reserves improved during the year, increasing by 5.5 per cent from E9.1 billion in March 2025 to E9.6 billion by March 2026.
Despite the increase, reserves remained below the three-month import-cover benchmark, standing at 2.2 months of import cover.
The Bank also purchased 2,500 ounces of gold during the year as part of efforts to strengthen the country’s reserve position.
The annual report shows that the CBE’s financial performance was also accompanied by continued efforts to strengthen the country’s financial infrastructure.
Among the initiatives pursued were the Government retail bond platform, the Deposit Protection Fund, the Eswatini Payment Switch and the Bank’s digital transformation programme.
The Bank reported that all eight participating institutions had been connected to the Fast Payments Module, paving the way for greater interoperability in the country’s payment system.
Work also continued on the Deposit Protection Fund, which is intended to strengthen the financial safety net and protect depositors in the event of bank failures.
The latest results come as the CBE continues to balance its mandate of supporting economic growth with maintaining price and financial stability amid changing domestic and international conditions.
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