IMF Staff Country Reports

Kingdom of Swaziland: Selected Issues

September 11, 2017

Download PDF

Preview Citation

Format: Chicago

Kingdom of Swaziland: Selected Issues, (USA: International Monetary Fund, 2017) accessed July 15, 2025

Summary

This paper highlights that banks and nonbank financial institutions, businesses and households have large exposures to the government and, in some cases, their own vulnerabilities. In this context, a fiscal shock can rapidly propagate into the economy through the financial sector. The financial sector is also likely to amplify the impact of shocks on the economy, possibly opening the way to deep recession. In the case of an extreme shock with difficulties in servicing debt, the banking system capitalization would be significantly hit. Staff analysis highlights the need for fiscal consolidation and for strengthening the CBS’s role in monitoring and managing macrofinancial risks. Since 2015, the government’s balance sheet, liquidity, and risk exposures have been rapidly deteriorating, raising concerns about the impact on other sectors of the economy. As in many countries, the government in Swaziland is a major economic player with strong linkages with both the financial and nonfinancial sectors.

Subject: Banking, Employment, Financial statements, Labor, Labor markets, National accounts, Private investment, Public debt, Public financial management (PFM)

Keywords: Balance sheet analysis, Balance sheet vulnerability, Bank assets, CR, Employment, Financial statements, Global, IMF staff estimate, ISCR, Labor markets, Private investment, Productivity, Securities, Staff analysis, Swaziland, Wage, Wage-productivity dynamics

Publication Details

  • Pages:

    17

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Country Report No. 2017/275

  • Stock No:

    1SWZEA2017002

  • ISBN:

    9781484318607

  • ISSN:

    1934-7685

You May Also Be Interested In...

Arab Republic of Egypt: 2025 Article IV Consultation, Fourth Review Under the Extended Arrangement Under the Extended Fund Facility, Requests for Waivers of Nonobservance and Modification of Performance Criteria and Request for an Arrangement Under the Resilience and Sustainability Facility-Press Release; Staff Report; and Statement by the Executive Director for Egypt

July 15, 2025

The Federal Democratic Republic of Ethiopia: 2025 Article IV Consultation, Third Review Under the Extended Credit Facility Arrangement, and Financing Assurances Review-Press Release; Staff Report; Staff Supplement; and Statement by the Executive Director for The Federal Democratic Republic of Ethiopia

July 15, 2025

Iraq: 2025 Article IV Consultation-Press Release; Staff Report; and Informational Annex

July 14, 2025

Republic of Estonia: 2025 Article IV Consultation-Press Release; and Staff Report

July 14, 2025