The Central Bank of Eswatini (CBE) has issued an urgent warning against a fraudulent investment scheme operating as Eswatini New Fund – Asset Depositor (AD) and The Financial Institution (TFI).
The regulator officially dismantled the group’s credibility in an urgent statement, confirming that neither entity is licensed to accept deposits or provide financial services in the Kingdom.
The scheme, which has been aggressively circulating promotional materials, claims to facilitate a massive $1 billion currency swap with the Central Bank.
Promoters, including an entity known as Green City Developers, have been enticing potential investors with the promise of Eswatini NEW Fund 3.0, alleging the scheme could generate a staggering 10% weekly revenue over a 40-week cycle.
The CBE has been blunt in its assessment, labelling the claims as entirely fabricated. Central to the scheme’s pitch was the high-level legitimacy supposedly provided by the regulator itself, a claim the Bank has now categorically denied.
“The Bank wishes to unequivocally state that all these claims are false, misleading and without any foundation,” stated Governor Dr. Phil Mnisi.
“Any suggestion that the Central Bank Governor has committed to sign such a contract is untrue.”
The Governor further clarified that the CBE has no partnership, memorandum of understanding, or arrangement with Asset Depositor, TFI, or Green City Developers regarding currency swaps, bond-trading revenues, or blocked funds.
The warning serves as a reminder of the strict regulatory environment governing Eswatini’s financial sector. Under the Financial Institutions Act, 2005, it is a criminal offense to conduct banking business or accept public deposits without an official license.
The Central Bank highlighted several critical risks associated with the “New Fund” proposal, beginning with the fact that neither Asset Depositor nor TFI holds the legal authority to operate as a financial institution within the Kingdom.
Furthermore, the promise of 10% weekly returns serves as a classic hallmark of speculative and unsustainable financial models that often precede a total collapse of funds.
Most notably, the bank warned that using the Governor’s name as a “key signatory” is a deceptive tactic specifically designed to bypass the natural skepticism of sophisticated investors and create a false sense of official security.
The CBE is not merely issuing a warning; it is actively investigating the promoters involved.
The Bank confirmed it is collaborating with sister regulators and relevant law enforcement agencies to curb these unauthorized activities and protect the public from potential financial ruin.
“The Central Bank urges all stakeholders to remain vigilant and exercise caution when approached with unlicensed, speculative, or unrealistic investment offers,” Dr. Mnisi added.
Investors are advised to verify the licensing status of any financial entity with the CBE before committing capital. In an era of increasingly complex financial fraud, if an offer looks too good to be true, especially one promising a billion-dollar backing from a national regulator it almost certainly is.