Wednesday, August 03, 2011

Reaction to South Africa’s multi billion rand loan to Swaziland

By Khanyisa Tabata
03 August 2011

The Reserve Bank’s decision to award Swaziland a loan of two point four billion rand is aimed at alleviating a crippling fiscal crisis in Africa’s last absolute monarchy, according to Finance Minister Pravin Gordhan.

Addressing a news conference at the National Treasury in Pretoria, he said the government has agreed to provide guarantees for the loan, which will be handed to the Central Bank of Swaziland with repayment plan duration of five years.

Meanwhile the Swaziland Solidarity Network called the decision to loan Swaziland's government the money to Swaziland to the Swazi people.

The Swaziland Democratic Campaign said it wa s devastated by the South African government's decision.

The campaign’s Mary de Silva said the king is only going to abuse the loan.

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