Central Bank of Eswatini publishes economic update showing 5.7 per cent fourth quarter growth and March inflation at 1.6 per cent

The Central Bank of Eswatini published its March/April 2026 Recent Economic Developments review, showing that economic activity slowed slightly at the end of 2025 while disinflation continued. Seasonally adjusted quarterly GDP grew 5.7 per cent year on year in the fourth quarter of 2025, down from a revised 5.9 per cent in the previous quarter, and annual consumer price inflation fell to 1.6 per cent in March 2026, the lowest level since October 2019. The discount and prime lending rates were unchanged in March, private sector credit rose 8.1 per cent year on year to a record SZL23.2 billion, and broad money increased 17.1 per cent year on year to SZL27.8 billion. Growth was led by the tertiary sector, which expanded 9.9 per cent year on year, with wholesale and retail trade, financial and insurance services, and information and communication technology offsetting a slowdown in the primary sector and a 0.5 per cent contraction in the secondary sector. Inflation eased as food prices moved into mild deflation and transport and housing and utilities pressures softened. Provisional data showed gross official reserves rising 5.3 per cent month on month to SZL10.2 billion at end-April, equivalent to 2.3 months of import cover, helped by a Southern African Customs Union revenue inflow. Total public debt fell to SZL39.5 billion, or 37.9 per cent of GDP, at end-April, while the April trade surplus narrowed 12.5 per cent month on month to SZL794.2 million as export earnings declined faster than imports.