Authorities in Eswatini are closing businesses owned by Asian nationals as they enforce legislation intended to increase citizens' ownership of and participation in the economy. The closures have prompted debate in Parliament over the pace of enforcement and whether local entrepreneurs are prepared to take over the affected businesses.
The Citizen Economic Empowerment Act, approved by Parliament, follows complaints from local traders that foreign-owned enterprises are moving into traditional retail markets. Those traders say the increased competition threatens their livelihoods. The government says the legislation aims to broaden economic opportunities for emaSwati, as citizens of the Southern African kingdom are known.
Speaking in Parliament on Tuesday, Mbabane East MP Welcome Dlamini said trade ministry officials had already started shutting Asian-owned shops. Hhohho Regional MP Tanele Magagula pressed for faster enforcement, saying: "Businesses owned by foreigners in the rural areas must be seized immediately."
Dlamini questioned whether local business owners were ready to assume control and proposed allowing foreign operators at least three years to train their successors. Magagula opposed that timetable, arguing that struggling citizens should not have to wait. Parliament subsequently agreed that foreign business owners should receive at least 12 months to leave. However, the ministry could continue applying the law's existing provisions unless it is formally amended to include that period.
The shutdowns come after inspections that the trade ministry began in August. Some enterprises checked in locations including Mbabane were found to comply fully with requirements. Inspectors also raised concerns about working conditions and administrative practices at foreign-owned businesses, including employee complaints concerning days off, annual leave and overtime. At least one case is still being investigated.
The small, landlocked kingdom faces substantial economic difficulties, with roughly 70% of its population below the poverty line. The government's effort to expand opportunities for citizens comes amid concerns that hunger and poverty could contribute to further political unrest.
Foreign-owned businesses are also facing growing pressure elsewhere in the region. In neighbouring South Africa, anti-immigration campaigns have involved raids, arrests, looting and disruption to informal enterprises run by foreigners. On July 30, 2026, the March and March movement escalated its campaign against undocumented immigrants by setting a deadline for them to leave. A further protest took place on September 30.
Violence and attacks on foreign-owned businesses have accompanied those campaigns, with two Ghanaian nationals and two Nigerian nationals reported killed amid the tensions. Kenya has also increased enforcement against foreign traders, drawing renewed attention to the treatment of foreign nationals and their enterprises across the region.
