Face it: R2.4bn loan to Swaziland is a gift, says Cosatu

Published on Mail and Guardian online, by Katharine Child, Sept. 9, 2011.

The Congress of South African Trade Unions says it is impossible that the R2.4-billion bail-out lent to Swaziland’s Central Bank by the South Reserve African Bank could ever be repaid, and it should be called a “gift”. Cosatu’s deputy president Zingwisi Losi, who was detained and then deported by Swazi police after she addressed a union protest in Siteki on Wednesday, addressed a small media gathering in Newtown, Johannesburg on Friday.

Losi said that the Swazi government owed R70-billion to the International Monetary Fund (IMF) and the World Bank, and would not find the money to repay the R2.4-billion loan. She said that Swaziland’s King Mswati III already tried to lay claim to the cash meant for the running of the country. The Mail & Guardian also reported on Friday that part of the loan was to be paid to a company with links to the Swazi royal family … (full text).

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