stylistic:tone, structural:expansion
Economy

Eswatini's economy is diverse, with agriculture, forestry and mining accounting for about 13% of GDP, manufacturing (textiles and sugar-related processing) representing 37% of GDP and services – with government services in the lead – constituting 50% of GDP. Title Deed Lands (TDLs), where the bulk of high value crops are grown (sugar, forestry, and citrus), are characterised by high levels of investment and irrigation, and high productivity. About 75% of the population is employed in subsistence agriculture upon Swazi Nation Land (SNL). In contrast with the commercial farms, SNL suffers from low productivity and investment.

The cultivation of sugarcane, the country's largest export, has involved forced evictions of rural communities to build plantations, child labour and work weeks of up to 60 hours. The International Trade Union Confederation refers to "arduous and unhealthy working conditions, miserable wages and violent repression of any attempt to unionize." Economic growth has lagged behind that of neighbouring countries. Real GDP growth since 2001 has averaged 2.8%, nearly 2 percentage points lower than growth in other Southern African Customs Union (SACU) member countries. Low agricultural productivity in the SNLs, repeated droughts, the devastating effect of HIV/AIDS and an overly large and inefficient government sector are likely contributing factors. Eswatini's public finances deteriorated in the late 1990s following sizeable surpluses a decade earlier. A combination of declining revenues and increased spending led to significant budget deficits.

Eswatini's economy is very closely linked to the economy of South Africa, from which it receives over 90% of its imports and to which it sends about 70% of its exports. Eswatini's other key trading partners are the United States (under the African Growth and Opportunity Act) and the EU, from whom the country has received trade preferences for apparel exports to the U.S. and for sugar to the EU. Under these agreements, both apparel and sugar exports did well, with rapid growth and a strong inflow of foreign direct investment.

The continued vibrancy of the export sector is threatened by the removal of trade preferences for textiles, the accession to similar preferences for East Asian countries, and the phasing out of preferential prices for sugar to the EU market. Eswatini will thus have to face the challenge of remaining competitive in a changing global environment. The Investment Climate Assessment provides some positive findings, namely that Eswatini firms are among the most productive in Sub-Saharan Africa, although they are less productive than firms in the most productive middle-income countries in other regions. They compare more favourably with firms from lower middle income countries but are hampered by inadequate governance arrangements and infrastructure.

Eswatini's currency, the lilangeni, is pegged to the South African rand, subsuming Eswatini's monetary policy to South Africa. Customs duties from the Southern African Customs Union and worker remittances from South Africa substantially supplement domestically earned income. Eswatini is not poor enough to merit an IMF programme; however, the country is struggling to reduce the size of the civil service and control costs at public enterprises. The government is trying to improve the atmosphere for foreign direct investment.

Public services are very poorly developed: the country has only twelve public ambulances, elementary schools generally no longer provide canteens and pharmacies are disappearing.

A large amount of wealth in Eswatini is held by the state and the king, including land and large corporations such as RES (Royal Eswatini Sugar) Corporation which is majority owned by the king's sovereign wealth fund, Tibiyo Taka Ngwane, with an additional 6.5% owned by the Eswatini government.

For much of the population, private economic activity involves subsistence agriculture. There are also private businesses run by 15,000 businessmen including descendants of British settlers and some South African investors who have come to Eswatini because they can hire employees at a third of the pay rates they would pay in South Africa. King Mswati III receives 8% of the national budget for official expenses. The police force receives 5% of the budget, as do the armed forces.