The African Street Journal · Eswatini
Business · 2026-09-06

Government Projects Halt Amid E600 Million Cash Flow Crisis

Contractors, workers, and service delivery are impacted as approved funds for infrastructure projects remain unavailable, causing significant delays.

Government projects worth approximately E600 million have stalled due to slow cash flow, affecting contractors, workers, and service delivery nationwide. Although funds were approved, they have not materialized to finance awarded contracts, leading to a growing backlog of unfinished work. Projects spanning schools, roads, water infrastructure, and livestock dipping tanks are now delayed, with contractors awaiting payment and workers facing income loss.

The Microprojects Programme, responsible for dipping tank projects for the Ministry of Agriculture, is heavily impacted. This financial strain not only hinders infrastructure delivery but also concerns livestock farmers who rely on these facilities. Communities are waiting for essential services, including classrooms for improved education and completed dipping tanks for cattle owners, with some projects overdue, especially as the rainy season approaches.

The cash flow challenges extend beyond the Microprojects Programme to capital projects across multiple ministries, including Health, Education, Economic Planning, Defence, and Labour. Entities like the Rural Development Programme, Royal Eswatini Police Service, and His Majesty’s Correctional Services are also affected. The Ministry of Public Works and Transport's road construction projects are similarly disrupted, leaving contractors unpaid and officials unable to visit sites.

Why it mattersContractors and workers are directly affected by the lack of payment and income, while communities face delays in essential services like schools and water infrastructure.

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