LUSIP
is a national programme aimed at promoting smallholder farm development in the
lowveld, primarily dedicated to the growing of sugar. It will, at full
capacity, allow for the irrigation of about 11 000 hectares of land to
sugarcane. Given the strategic goal of placing smallholder agricultural
development at the heart of national development in these areas, there is need
to ensure the full viability and success of this project. Many donors,
including the EU and EIB, have committed themselves to the financing and
success of the project.
The
reforms in the EU sugar market however place the viability of the project at
risk. Whilst this obtains, and can be dealt with appropriately, the project has
realized a financing gap to allow smooth completion. As such, funding in the
magnitude of €42 million will be required. To keep the viability of the project
intact, such financing must be in the form of a grant, as loan financing would
compromise the viability margins.
Measure:
The
Ministry of Economic Planning and Development, working together with other
Government Departments, has developed a framework for providing access to
credit for business and agricultural purposes through the Poverty Fund. Many
eligible poor are either unaware of the fund or lack information on how access
it
This
fund needs to be promoted and disbursement mechanisms finalized to facilitate
access by the poor and ensure that it meets its establishment objectives.
Measure
·
Assist in disbursing the Poverty Fund
In
spite of a nominally high rate of unemployment, acute shortages have been
recorded in the levels of health and education of the Swazi population. The problem
is exacerbated by generally poor health care facilities, by the high level of
HIV/AIDS infection, and the high death rate and rapid increase in the number of
orphans that go with it. These problems, together with a general shortage of
skills, constitute a great burden on the process of transformation, as the
Swazi economy is striving to develop and diversity. Considerable support will
be needed by government if it is to assume responsibility for running the
health and education services of the sugar communities and expanding/improving
access to national facilities for the general populace.
Measures:
Good
governance is the efficient, effective, and accountable exercise of
administrative, managerial, and political authority at all levels of human
society. In the delivery of public services to the poor, good governance is
frequently affected by excessive centralization.
The objective of this
strategy is to promote decentralised planning, budgeting and delivery of
services to the rural poor. The strategy will also involve improved management
of the country’s fiscus.
Measure