Fin24

Mswati stalls on loan conditions

2011-10-11 10:26

Johannesburg - South Africa's R2.4bn loan to Swaziland is yet to be signed as King Mswati III appeared to be reluctant to agree to the conditions, Business Day reported on Tuesday.

South Africa's Treasury confirmed on Monday that no funds had been transferred to Swaziland.

"The loan agreement has not been signed by the Swazi authorities and as such no money has been transferred to Swaziland," Treasury spokesperson Bulelwa Boqwana said.

The kingdom was desperate for financial support after losing about 60% of its revenue from the Southern African Customs Union, which had slumped due to slowing trade.

The first instalment of the loan was due to have been transferred to Swaziland in August, with subsequent payments credited in October and February.

As part of the agreement Swaziland had to align its fiscal policy to International Monetary Fund standards, allow South African experts unhindered access to improve the country's fiscal and budgetary plans, create platforms to attract foreign direct investment, and institute reforms to stabilise Swaziland's economy.

 

Comments
  • Unskinny Bob - 2011-10-11 10:36

    Good - so cancel the loan offer. Poor people in SA can do so much more with the money. As tax payer I insist that my hard earned money goes toward the upliftment of the South African needy.

  • ndosithemba - 2011-10-11 10:41

    Whats wrong with king why he does not want 2 sign, it shows that he's not desparate bcause his delaying the process even though the money is available. All what he does is 2 waste money with his lots of wife's and children.

      Onnest - 2011-10-11 14:27

      Probably got a side deal going with the Chinese...

  • Bratboy - 2011-10-11 11:00

    mmmmmmmmmmmmmmmmmmm, me tinx he did not get the R400 million he asked for.

  • AndV - 2011-10-11 11:00

    He is currenly building mansions for his wifes, at the expense of the taxpayers of cause. This despot should be de-throned as soon as possible and fed droee pap only.

  • lekweza - 2011-10-11 11:01

    Thats lack off pre-planing and good budgetary skills.Swazi government should stop on misusing money on undue things.

  • Flinger - 2011-10-11 11:36

    There should be no loan whatsoever, rather send in the UN after the swazi's oust him and his harim from their palaces. Charity starts at home, we have hungry people here too.

  • derekneilmaclachlan - 2011-10-11 12:07

    DO NOT lend money to this dictator. I grew up in Swaziland and cant believe what has become of this country!! The majority of the population live in poverty and the fat cats live in the lap of luxury which they can no longer afford. I OBJECT to my tax money being used to bail them out.

  • Mallyg - 2011-10-11 13:11

    I think our "clevers" have already paid a large portion of the loan over to Swaziland, in return for the usual backhander (the SA salute). This procedure would be quite normal for our incompetent government … they did it this way with the RPD home builders and currently pay out in advance for most BEE tenders; why should they have changed their modus operandi for this Swaziland loan.

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