The Central Bank of Eswatini published its January/February 2025 Monthly Statistical Release, reporting continued expansion in private sector credit and broad money through end-January, alongside a February decline in gross official reserves and a lower import-cover ratio. Credit extended to the private sector reached SZL 21.0 billion at end-January (up 2.8% month-on-month, 12.1% year-on-year) and broad money (M2) increased to SZL 25.5 billion (up 4.3% month-on-month, 9.9% year-on-year), while provisional gross official reserves fell to SZL 12.2 billion at end-February (down 5.3% month-on-month) with import cover at 2.8 months. The discount rate and commercial banks’ prime lending rate were 7.00% and 10.50% in February. Business lending drove much of the monthly credit increase, with credit to businesses at SZL 11.1 billion (up 5.4% month-on-month, 19.0% year-on-year), while credit to households and nonprofit institutions serving households rose to SZL 8.7 billion (up 0.5% month-on-month, 3.1% year-on-year) as unsecured personal loans grew but motor vehicle and housing loans declined. Net government balances with the banking sector moved to -SZL 86.7 million from SZL 1.7 billion in December after repayment of a central bank advance using Southern African Customs Union revenues, with claims on government falling to SZL 7.1 billion and government deposits rising to SZL 7.2 billion. M2 growth reflected a 7.7% monthly rise in quasi money to SZL 15.7 billion, led by time deposits, while M1 contracted by 0.7% to SZL 9.8 billion, and banking-sector domestic liquid assets increased to SZL 9.0 billion as the liquidity ratio rose to 37.4%; the reserve decline was attributed to a net outflow of rand from trades with local banks and payments of government fiscal obligations, and reserves stood at SDR 504.1 million in SDR terms. The central bank noted the reserves figures are provisional pending official account closure and that monthly data are subject to revision.

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