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.