Eswatini Gives Illegal Foreign-Owned Businesses 12 Months to Close, Decision Sparks SA Comparisons
- Eswatini passed the Citizen Economic Empowerment Act, setting a 12-month deadline for illegal foreign-owned businesses to cease operations
- Parliament debated the timeline intensely, with some Members of Parliament pushing for immediate action and others suggesting three years
- The law drew comparisons to South Africa's anti-immigration climate, with social media users noting the distinction between illegal and legal foreign businesses
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Byron Pillay, a Briefly News journalist, has spent a decade reporting on South Africa's political landscape, crime, and social issues. He worked as a newspaper journalist for 10 years before transitioning to online journalism.
ESWATINI — The government of Eswatini has enacted legislation giving illegally operating foreign-owned businesses one year to shut down, as the kingdom moves to strengthen economic participation among its own citizens.
The Citizen Economic Empowerment Act was approved by parliament following sustained pressure from local traders, who argued that foreign-owned enterprises were crowding out traditional retail markets and undermining their livelihoods.
The government framed the new law as a measure to broaden economic opportunity, citing concerns that rising poverty and hunger could deepen existing political instability in the country.
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Parliament divided over the timeline
Debate in parliament over how quickly foreign business owners should be required to leave was fierce.
Some MPs called for immediate enforcement, while others proposed a three-year window to allow time for local emaSwati — as citizens of the kingdom are known — to receive adequate training and preparation to take over operations. Lawmakers ultimately settled on a 12-month deadline as a compromise.
Businesses owned by foreign nationals are reported to have already begun closing across Eswatini, previously known as Swaziland, following the law's implementation. Critically, the legislation targets businesses that are illegal or non-compliant; foreign-owned enterprises that are properly registered and operating within the law are not directly affected by the 12-month order.
South African comparisons dominate social media
The law drew significant attention beyond Eswatini's borders, particularly in South Africa, where anti-illegal immigration demonstrations led to an unofficial ultimatum for undocumented foreign nationals to leave by 30 June this year.
Social media users reacted in large numbers to the BBC News Africa post reporting the development, with several drawing pointed comparisons between Eswatini's approach and South Africa's handling of similar issues.
Sbu Zulu wrote:
"This is a good move by this government. I wish South Africa could learn something here."
Sabelo Masindiso commented:
"If it were South Africa, everyone would be screaming Xenophobia."
Jabu Mahloko-Manqele added:
"If this were South Africa, I'm sure there'd be 'Xenophobia' somewhere in the headline."
Louis Selale said:
"Very important key word here is 'illegal'. South Africa doesn't know the meaning of this word."
Others acknowledged the measured pace of the policy.
Inkosazana Her wrote:
"So reasonable. Give people time to pack their things, sell other belongings, not to just say, Leave now!"
Brian Chippy echoed the sentiment, saying:
"Hope locals are ready to fill the gap that will be left. It's also good that the Eswatini authorities are not doing this hastily; time has been given for all affected."
Saint Nassi clarified the scope of the legislation:
"They said illegal foreign businesses, not legal ones. So in 12 months you can make it legal by registering your business in the country."
Ramaphosa insists that South Africans aren't xenophobic
Briefly News reported previously that President Ramaphosa weighed in on the recent tensions in South Africa between locals and foreign nationals.
The president insisted that South Africans were not xenophobic, saying that they wanted to live together with other Africans in the country.
South Africans weighed in on Ramaphosa's statement, sharing mixed reactions to his view on the actions of citizens.
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Source: Briefly News
