# Eswatini approves EPTC loan amid fiscal concerns

> Live situation record from CLSTR: https://clstr.news/situations/eswatini-fiscal-management-and-loan-debates
> Updated: 2026-10-02T02:31:21.000Z. Sources: 4. Developments: 3.

The Eswatini Parliament has approved a US$26 million (approximately E455 million) loan guarantee for the Eswatini Posts and Telecommunications Corporation (EPTC). Backed by the World Bank, this facility is intended to support the Digital Eswatini Project and address the corporation’s significant pension liabilities. The EPTC pension scheme currently faces a deficit of hundreds of millions of Emalangeni, supporting approximately 500 beneficiaries with only 144 active contributors.

During the legislative debate, lawmakers raised concerns regarding the financial stability of the state-owned entity and the potential risk to taxpayers in the event of a default. In response to concerns regarding job security, EPTC management assured Parliament that there are currently no plans for employee retrenchments. The intervention aims to stabilize operations that have been strained by the diversion of operational funds to meet pension obligations.

Broader parliamentary discussions continue to highlight government cashflow problems. Legislators noted that financial constraints are stalling development projects, such as road construction, and slowing service delivery. In response to criticisms of fiscal management, Finance Minister Neal Rijkenberg defended the practice of paying rent to the Public Service Pension Fund (PSPF) for occupied buildings. The Minister argued these payments help address a 13% funding gap in the PSPF, which may reduce the long-term financial burden on taxpayers since the government acts as a guarantor for the fund’s shortfall.

## Timeline

### 2026-10-02: Eswatini Parliament approves US$26 million loan for EPTC

Eswatini Parliament has approved a US$26 million loan guarantee for EPTC to fund the Digital Eswatini Project and address critical pension liabilities.

2 sources. https://clstr.news/cluster/eswatini-parliament-approves-us26-million-loan-for-eptc

### 2026-09-22: Eswatini officials address cashflow concerns and pension fund funding

Eswatini lawmakers have raised alarms over government cashflow issues delaying development, while Finance Minister Neal Rijkenberg defended rental payments to the PSPF as a way to reduce taxpayer liability.

3 sources. https://clstr.news/cluster/eswatini-officials-address-cashflow-concerns-and-pension-fund-funding

### 2026-09-21: Eswatini Parliament debates E455 million EPTC loan guarantee

Eswatini lawmakers are debating a government guarantee for a E455 million EPTC loan from the World Bank, amid concerns over corporate corruption and taxpayer risk.

3 sources. https://clstr.news/cluster/eswatini-parliament-debates-e455-million-eptc-loan-guarantee

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Cite as: Eswatini approves EPTC loan amid fiscal concerns. CLSTR, https://clstr.news/situations/eswatini-fiscal-management-and-loan-debates