COMESA 2018 | Page 2

The Kingdom of Swaziland has joined a number of COMESA countries in the pursuit for economic growth by promoting the development of Free Zones through the legislation of the Special Economic Zones Act of 2018. The zones are expected to leverage Swaziland’s Trade with COMESA countries. Special Economic Zones Designation To further diversify into new sectors, the Government has designated two sites as Special Economic Zones. The fi rst of these is the Royal Science and Technology Park which will leverage biotech industries and high value agri-business, and is strategically located in proximity to the country’s biggest industrial estate and rail inland-dry port in Matsapha. The second demarcated SEZ site is the newly developed King Mswati III International Airport which seeks to attract companies in manufacturing, tourism, logistics, etc. by providing special concessions. More SEZs will be designated in the future comprising of developer and operator licenses. Some SEZ Incentives Primarily, companies located in areas designated as SEZs benefi t from a number of incentives which include, but not limited to: • Exemption from corporate tax for the fi rst 20 years; thereafter, a corporate tax shall be fi xed at a rate of 5%; • Remission of customs duty, value added tax and any other tax payable on raw materials, equipment and machinery for export products; and • Exemption from foreign exchange control or restrictions for activities carried on in a SEZ. Swaziland ICT Sector Fully Liberalised; Government Grants Second Mobile Telecommuniation License Pursuant to its commitment to increase competition and, ultimately, effi ciency in the telecommunications industry, the Government of the Kingdom of Swaziland granted a license to a second mobile network operator. The grant has already had a positive impact in the reduction of ICT tariffs and effi ciencies in the ICT industry in Swaziland for the benefi t of consumers. Reasons to Invest in Swaziland • Extended access to large regional and international markets; • Relatively well skilled and trainable human capital; • Reliable and affordable utility services i.e. portable water and stable electricity; • Excellent road and communication infrastructure i.e. fully digital, fi bre optic telecommunication systems; road and rail networks enabling cross border trade; and • Proximity to strategic international sea and air ports. For more information on investment and trading in Swaziland, contact us: Tel: (+268)2404 0470/2/3/4 Fax: (+268) 2404 3374 Email: [email protected] (Operations) [email protected] (Administration) Website: www.sipa.org.sz