Sizwe Dlamini
Leaders from Business Eswatini (BE) and the Trade Union Congress of Swaziland (TUCOSWA) have called on EmaSwati to remain vigilant of the ongoing international geopolitical shifts that could significantly impact the Kingdom of Eswatini.
Their remarks came during the signing of a Memorandum of Understanding (MoU) between BE and TUCOSWA at the BE headquarters. E. Nathi Dlamini, the CEO of BE, opened the discussions by emphasizing that Eswatini is not immune to global political changes.
He pointed out that while many may feel disconnected from international events such as the Russia-Ukraine war, the effects are felt locally, such as rising costs for goods like bread. Dlamini noted that the Kingdom must stay vigilant and monitor global events carefully, particularly concerning international relations and trade policies.
“One major concern is the healthcare sector, which relies heavily on international funding. We are facing uncertainty, especially with promises from international players to withdraw their support. The situation in America is fluid, and we are also concerned about the African Growth and Opportunity Act (AGOA), which benefits us. If America alters its policies, we could lose these advantages. Moreover, we are already seeing the impact of reduced SACU receipts, which comes at a particularly challenging time,” Dlamini explained.
TUCOSWA President, Bheki Mamba, also addressed the potential dangers of geopolitical changes, especially regarding healthcare funding. He explained that 70% of Eswatini’s healthcare budget is funded by international players, particularly the World Health Organization (WHO).
“The incoming U.S. president has indicated a shift in foreign policy, including potential cuts to funding for international organizations like the WHO. If the United States of America (U.S.A.) withdraws its funding, Eswatini could face severe repercussions, especially in healthcare. Currently, there is a shortage of drugs in hospitals, and if these funding cuts take effect, the situation will worsen,” Mamba said.
Mamba also highlighted the reliance of many developing countries on international aid, especially from larger nations like the U.S.A., to sustain critical sectors like health and education.
“If the U.S. pulls its funding, it could cripple operations of essential organizations like the WHO and UN, and as a country, we will face even more challenges,” he added.
Meanwhile, Andrew Le Roux, the Vice President of BE also expressed concerns about potential trade tariffs, noting that if the United States increases tariffs on imports, it could negatively affect Eswatini’s export-driven economy.
“Our economy is heavily reliant on exports, and any trade tariffs or policy changes from the U.S. could have serious adverse effects,” he stated.
The leaders emphasized the need for continued diplomatic engagement to ensure that the Kingdom’s interests are protected in the face of these shifting global dynamics.