By Judith Ugwumadu | 10 February 2014

Public financial management in Swaziland is to be strengthened to help the country make better fiscal adjustments following the sharp decline in revenues from the Southern African Customs Union, the African Development Bank has announced.

The AfDB has approved a Country Strategy Paper for 2014-2018, which focuses on promoting economic growth and improving living conditions. To achieve these aims, the bank said it would support the government’s efforts to limit budgetary spending, improve public sector performance and the efficiency of resource use in line with the country’s PFM reform programme.

AfDB said: ‘These interventions are meant to build the country’s resilience and thus prevent a repeat of the fiscal crisis that could once again lead to the depletion of official reserves.’ 

The bank also said the strategy would seek to address shortcomings in Swaziland’s infrastructure with a view to positioning its as a competitive ‘node’ for the region. ‘This is expected to help integrate the poor and vulnerable groups of society in the development process by giving them better access to opportunities arising from improved infrastructure and rural development,’ the AfDB added. 

The bank’s partnership with Swaziland is based on the intersection of the country’s Poverty Reduction Strategy Action Plan and the bank’s strategy for 2013 to 2022, which aims to respond to the needs of lower middle-income countries. 

The bank has a current portfolio in Swaziland of eight public sector operations supported by a total commitment of $26.5m.