One of the key priorities of the Government of Eswatini is increasing the role of the private sector in supporting a private sector-led economy. Over the years, owing to suppressed economic performance and activity, the government’s role in stimulating the economy has increased, with most projects benefiting the private sector, mostly in infrastructure development, being government-driven.

The revised MSME Policy is expected to help reduce the burden on the government to create jobs and export more through the development of a conducive business climate and support for the local private sector. The lost opportunity, in terms of more than 70% of MSMEs being informal, must be addressed urgently to ensure increased output, jobs, and ultimately national income through increased tax.

To achieve these key objectives, the revised MSME Policy 2024 – 2029 advocates for a two-fold approach: first, understanding and improving the MSME ecosystem, and second, pursuing a targeted approach to serving various MSME subsegments.

According to McKinsey & Company, governments should focus on promoting three characteristics of a healthy and well-performing MSME ecosystem: boosting the business confidence of MSMEs, enabling the growth of MSMEs – in general and for high performers—and increasing the competitiveness of MSMEs