Africa-Press – Eswatini. His Majesty the King has told world leaders that the current global crises are threatening the advancement towards Agenda 2030, which is the target for the achievement of the Sustainable Development Goals (SDGs).
He said, however, they still have an opportunity to find workable solutions to reverse the dire developments.
The King was addressing leaders at the Fourth International Conference on Financing for Development (FFD4) in Seville.
“Daunting realities of worsening climate crisis, deepening debt burdens, and an uneven and high cost of development finance for countries that need it the most, have converged to create a storm that threatens the foundations of sustainable development.
“However, in the face of these concerns, the Kingdom of Eswatini has continued to demonstrate proactive leadership and steadfast commitment to the 2030 Agenda and the Sustainable Development Goals,” the King assured the leaders.
He said pandemics like COVID-19 and the global tensions continues to be a threat and appealed for much support as they have programmes that they need to implement but due to lack of resources they cannot meet those obligations.
“As we look closer to this year’s conference theme, “Financing our Future”, which emphasises the need to mobilise sufficient and sustainable financial resources to achieve long term global goals, especially those outlined in the UN 2030 Agenda for sustainable development. We appeal to the developed nations to share technology transfer to enhance renewed strategies for sustainable financing,” he said.
His Majesty the King said the need to accelerate environmentally sound technologies to developing countries on favourable terms remains imperative, which includes concessional and preferential terms.
“This will enhance the development of new industries such as science and technology parks, mining, pharmaceuticals, agriculture, tourism, small and medium enterprises, to mention just a few.
“Last year, at the summit of the future, strong emphasis were placed on the urgent need for systemic reform to the existing international financial architecture. It also called for a more inclusive, transparent, and responsive initiatives to the needs of developing countries. Eswatini fully aligns with this transformative change,’’ he said.
The King said Africa has Agenda 2063 but due to lack of resources they are not able to meet their own obligations and aspirations as a continent.
“This calls for a global financial system that enables equitable access to capital, promotes sustainable development, and ensures that no nation, big or small, is left behind.
“The quest to ensure a fair financing system for developing countries must not be misinterpreted as a matter of charity, but as a necessity.
“The current structure leaves particularly climate vulnerable nations with unacceptable and unsustainable borrowing costs, raising the urgent need for reforms in credit rating agencies and more equitable allocation of special drawing rights. To move away from fragmented development finance, Eswatini calls for innovative mechanisms such as climate bonds, blended finance, and debt-for-climate swaps,” he said.
The King said these instruments must be scaled up to unlock the catalytic potential of both public and private capital that will enable the country to finance the SDG gap estimated to be 4.3 trillion US dollars annually, (approximately E77 billion).
“It is my ardent hope that this summit will be the turning point in our path top find the right financing models to support meaningful development for our people. The Kingdom of Eswatini stands united with the UN advocating for a transformative outcome that addresses systematic challenges and unlocks sustainable financing,” the King said.
He said drawing from their experiences and aspirations, Eswatini remains committed to building a resilient, prosperous outlook and the realisation of the multilateral system as envisioned in the 2030 Sustainable Development Goals agenda in line with the theme “Financing the Future.”
ESWATINI MADE TREMENDOUS PROGRESS IN SEVEN YEARS
SEVILLE, SPAIN – The King has told world leaders that the Kingdom of Eswatini has made impressive progress in aligning itself with the United Nation’s Sustainable Development Goals agenda.
“We believe it is imperative to highlight Eswatini’s journey of success on moving onto a sustainable economic plan. In 2018, we discovered that for over a period of 20 years our Growth Domestic Product (GDP) had averaged just over two per cent, showing an unsustainable path due to a high stock of arrears. We decided to make a change and embark on a new course,” he said.
The King said the country had to reduce its fiscal deficit from 7.5 percent in 2018 to two percent, meaning that Eswatini was now on a fiscally sustainable track by the end of 2022.
“We had to aggressively increase revenue but also reduce expenditure, and this was exceedingly difficult but crucially necessary to undertake.
“From 2023, we started to see the benefits as our GDP started growing at a higher rate of five per cent and is predicted to grow above seven percent in this fiscal year,” the King stated.
He said this was not just a dream but possible, based on the confidence being demonstrated by the private sector in government’s ability to stabilise the economy and set it on a sustainable approach with returns on their investments being restored.
The King said this is what has contributed to the growth, while remaining within the recommended 40 per cent debt to GDP ratio.
ESWATINI SET TO GAIN FROM UN FINANCING CONFERENCE
Mbabane, Eswatini – The adoption of the Sevilla Commitment at the on-going Fourth International Conference on Financing for Development in Sevilla, Spain, is set to boost the country’s development ambitions.
His Majesty King Mswati III, has joined global leaders at this conference to endorse this bold framework, designed to close the E77 trillion ($4 trillion) annual sustainable development financing gap.
For a landlocked nation grappling with high unemployment, poverty, and climate vulnerabilities, the Commitment offers an opportunity to help the country move forward with its National Development Plan, the Sustainable Development Goals (SDGs), and Africa’s Agenda 2063. These initiatives are designed to enhance economic growth, social inclusion, and build resilience towards day-to-day challenges.
The Sevilla Commitment outlines a comprehensive strategy to mobilize resources, reform global financial systems, and promote inclusive growth. Key measures include scaling up concessional finance, reforming international financial institutions, ensuring debt sustainability, strengthening domestic revenue, promoting trade through initiatives like the African Continental Free Trade Area (AfCFTA), advancing technology and innovation, and prioritising gender equality and social protection.
For Eswatini, where unemployment stands at approximately 33%, the Commitment’s focus on integrating African nations into global value chains via the AfCFTA is a game-changer. Enhanced market access for Eswatini’s agricultural and textile exports, coupled with investments in trade-related infrastructure like transport corridors and digital systems, could lower trade costs, boost small and medium enterprises (SMEs), and create jobs, particularly for the youth.
With public debt at around 40% of GDP, Eswatini faces fiscal constraints in funding essential services. The Sevilla Commitment’s pledge to triple multilateral development bank lending and provide concessional finance, offers hope. Eswatini could access low-cost loans and grants to improve water, sanitation, and energy infrastructure, directly benefiting rural communities and reducing poverty, which affects over 50 per cent of the population.
The Commitment’s emphasis on responsible borrowing, streamlined debt restructuring, and climate-resilient debt clauses is critical for Eswatini, a nation vulnerable to droughts and climate change. These measures could ease debt servicing burdens, freeing resources for healthcare, education, and social protection. Additionally, disaster risk reduction financing will support sustainable agriculture, a cornerstone of Eswatini’s economy.
Investments in science, technology, and innovation (STI) under the Commitment align with Eswatini’s push for a digital economy. By improving digital infrastructure and capacity-building, SMEs and rural communities, especially women and youth entrepreneurs, stand to gain from enhanced connectivity and financial inclusion, fostering economic empowerment.
The Commitment’s focus on gender equality and social protection resonates with Eswatini’s efforts to address disparities. Gender-responsive budgeting and expanded social safety nets could uplift vulnerable groups, including women and rural households, improving living standards and ensuring no one is left behind.
His Majesty the King’s attendance at the conference underscores the country’s intention to leverage the Sevilla Commitment to align national strategies with global and regional goals and chart a roadmap to a more sustainable and prosperous future for all Emaswati.
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