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A.               ENHANCING A SUSTAINABLE SOCIO-ECONOMIC ENVIRONMENT AND CROSS-CUTTING ISSUES

1.     General Investment Climate

 

The possibility of having to diversify from sugar into other economic activities necessitates a careful monitoring of the national business climate, given that national as well as foreign private capital will be needed. The cost of doing business in Swaziland has recently been affected by the high tariffs and low dependability of public utilities. This may require the privatisation of certain services in order to improve efficiency The business climate would also be helped considerably by a relaxation of the regulations governing the establishment of new businesses.

 

An implementation of the investor roadmap which shows areas where Swaziland needs to work on in order to improve is attractiveness for foreign investment is required. This will include, but not limited to, ensuring that there is competition in the local utility provision market (with the related requirements of efficiency and delivery) including the general relaxation of business registration requirements.

 

Measures

 

2.     Natural Environment

 

There are environmental concerns about the level of air pollution caused by the use of coal as supplementary fuel in the sugar factories. Any attempt to rationalise the mills will, by itself, bring down the amount of pollution, as coal constitutes one of the more significant components of operating cost. Trials  for collecting, storing, recovering and burning baled cane trash as supplementary sugar factory fuel are presently being carried out on a semi-industrial scale by the industry.   

 

The contribution of water to economic prospects and national welfare must constantly be maximised, and there is a need to develop a national water conservation and management system.

 

Support to industrial-scale trials of substituting coal by baled sugar cane trash as supplementary factory fuel should be provided. Also, a national water master plan must be developed with a view to implementation in the medium term. On a general level, there is need to improve environmental management mechanisms.

 

Measures:

 

3.     Improve access and security of tenure on Land

 

Presently, access to land in Swaziland is very regulated, and limited. It is therefore not easy to use land as a means to support income generation, nor is it possible to use Swazi Nation Land as collateral for loans. A national land policy is required to facilitate this change. The land tenure system will thus need to be reviewed, in line with the development (or revision) of the land policy.

 

Measure:

 

 

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