Latest news with #EEU
Zawya
6 hours ago
- Business
- Zawya
Eswatini's Digital Transformation Crucial to Unlocking Growth, Jobs, and Economic Resilience
Eswatini needs to digitalize, strengthen public finances and address structural economic constraints to sustain growth, according to the latest edition of the Eswatini Economic Update (EEU) launched by the World Bank Group (WBG) today, titled: Harnessing the Potential of Digital Technologies for Eswatini's Growth and Job Creation. The report also provides analysis of the country's recent economic performance and prospects for the medium term. Eswatini's economy is projected to grow by about 5% in 2025 through a combination of policies and supportive conditions amid global economic uncertainty. An increase in public and private investment is projected to contribute to economic activity. The challenge will be to maintain this economic momentum and ensure growth is more inclusive over the medium term. The nation faces pressing needs to digitalize and address structural constraints, diversify its economy and strengthen public finances. The second edition of the EEU identifies digitalization as a key transformative strategy for the country, particularly as it addresses significant challenges such as a 35.4% unemployment rate and structural inefficiencies in vital sectors including agriculture, trade, and services. By accelerating digital transformation, Eswatini can boost productivity, create sustainable new jobs, and increase domestic revenue helping to reduce reliance on volatile revenues. 'This report aligns with the Kingdom of Eswatini's 2024-2028 digital strategy. We welcome the World Bank's insights on how digital transformation can contribute to accelerating our ongoing efforts to boost inclusive economic growth and domestic revenues and in so doing reduce reliance on SACU transfers,' said Honorable Thambo Gina, Minister for Economic Planning and Development for the Kingdom of Eswatini at the report's launch in Mbabane. Eswatini is making progress in expanding digital access, with nearly 95% of the population now covered by 4G networks. However, only about 58% of people are using the internet. One of the main reasons is the high cost of data, which takes up 3.47% of GNI per capita - above what is considered affordable in the region. To boost digital adoption and attract greater investment, the report recommends reforming the telecom market, including restructuring the telecom State-Owned Enterprise, adopting open access policies to ensure that all service providers can use the same network infrastructure on fair and equal terms, and update regulatory frameworks to promote competition and lower costs. In addition, with almost half of the country's Small and Medium Enterprises facing digital adoption barriers, targeted efforts in skills development and entrepreneurship support, including linkages to public procurement, are essential to drive job creation and innovation. 'Eswatini's digital transformation presents an opportunity to drive inclusive growth. Realizing this will require bold reforms to unlock the full potential of digital technologies, including the restructuring of Eswatini Posts and Telecommunications Corporation (EPTC),' said Satu Kahkonen, World Bank Division Director for Eswatini. 'In addition, strengthening coordination across government initiatives, accelerating digital skills development, and fostering innovation will be key to unlocking this potential. Addressing these challenges will enable the country to capture the full benefits of a digital economy." To unlock Eswatini's digital potential for higher economic growth and job creation, the EEU recommends three core policy pillars: (i) Enhance resilience through effective macroeconomic management; (ii) Stimulate job creation through private sector development by improving the enabling environment; (iii) Provide better and more affordable services through efficient public spending. The policy options include strengthening digital governance through clearer institutional roles and a national change management program; accelerating Eswatini Post and Telecommunications Corporation (EPTC) reforms to enhance operational efficiency and introduce open access; investing in digital public infrastructure, including a modern digital ID system; developing a National Digital Skills Action Plan aligned with labor market needs; and fostering a competitive innovation ecosystem through regulatory reforms, financing access, and support for startups via public procurement opportunities. Addressing these priorities will position Eswatini to harness digital transformation for broader economic inclusion and growth. Distributed by APO Group on behalf of The World Bank Group.
Daily News Egypt
8 hours ago
- Business
- Daily News Egypt
Addis Ababa Residents Voice Anger Over Soaring Electricity Bills
A growing number of residents in Ethiopia's capital are expressing outrage over a sharp rise in electricity costs, which many say is straining their already tight household budgets. Social media has been flooded with complaints, prompting calls for immediate explanations from Ethiopian electric utility providers. Residents across various neighborhoods in Addis Ababa report that recent prepaid electricity top-ups are no longer lasting as long as they did just months ago. In interviews with local outlets, several citizens described being shocked by the rate at which their prepaid balances are depleting — without a clear reason or official explanation. 'I used to recharge 1,000 birr and it would last the whole month,' said Martha, a mother of two. 'Now, 800 birr barely gets me through a week. I don't know what changed, but I'm struggling to keep up.' Another resident, Markos, recounted a frustrating experience after he recharged his meter card with 1,500 birr. 'When I tapped the card, the balance only showed 1,200 birr. I went back to the branch to ask, and they had no answers for me,' he said. For lower-income families, the price jump is hitting especially hard. One woman, who asked to remain anonymous, said her household of four is now paying more than double the electricity costs they did earlier this year. 'We're already stretched thin trying to cover rent and groceries,' she said. 'Now electricity has become another unaffordable burden.' Efforts by local media to obtain clarification from the Ethiopian Electric Utility (EEU) and Ethiopian Electric Power (EEP) have so far yielded little information. A representative at a branch office told reporters the issue was 'beyond their scope of authority,' while repeated calls to the headquarters went unanswered. While frustration grows in urban centers, nearly half of Ethiopia's population—particularly in rural areas—still lacks reliable access to electricity altogether. Many had pinned hopes on the Grand Ethiopian Renaissance Dam (GERD), which is projected to more than double the country's current power generation capacity to over 6,000 megawatts. The GERD, Africa's largest hydroelectric project, was partially inaugurated in September and is expected to provide a long-term solution to the country's chronic energy shortages. Officials have touted the project as a potential catalyst for affordable, widespread electrification across the country. However, experts caution that GERD's completion alone may not immediately translate into lower electricity prices for average citizens. Infrastructure bottlenecks, economic inflation, and regulatory inefficiencies may continue to influence energy costs, even as overall power output increases. For now, residents in Addis Ababa say they are left in the dark — both literally and figuratively — as their utility bills soar without clarity or accountability. Many are calling on the government and electricity providers to issue a public explanation and introduce transparent pricing mechanisms to ease the burden on everyday consumers.
Straits Times
15-05-2025
- Business
- Straits Times
Russian-backed union free trade deal with Iran goes into effect
MOSCOW - The Russian-led Eurasian Economic Union (EEU) free trade deal with Iran went into effect on Thursday, paving the way for increased trade across sectors ranging from agriculture to metals, a senior Russian official was quoted as saying. The EEU also includes Kazakhstan, Belarus, Armenia, and Kyrgyzstan, but Russia is by far the largest economy in the union. Russia and Iran have grown closer in recent years and trade between the two countries, both heavily sanctioned by the West, grew by 16% to $4.8 billion last year. Moscow and Tehran signed a 20-year strategic partnership agreement in January, the two countries have supplied each other with weapons, and Russia has defended what it says is Tehran's right to peaceful nuclear energy. "Over the past decades, Iran has protected its market by encouraging the development of its own competencies within the country, and for the first time in its history, has opened its market to goods from third countries," Deputy Prime Minister Alexei Overchuk told Russian news agencies. He estimated that the average tariff applied by Iran to Russian goods under the deal will fall to 5.2% from the current 16.7%, saving Russian exporters about $300 million a year. Iran's Oil Minister Mohsen Paknejad, who visited Moscow in April, stated that the free trade deal will increase bilateral trade to $6 billion. Iran was the third-largest buyer of Russian wheat in 2024. Overchuk said that Russian exporters of rolled products, metal structures, pipes, paper, radar equipment, grains, sunflower, soybean, and rapeseed oils, as well as sunflower seeds, are set to receive the most benefits from the deal. The Kremlin said on Wednesday that Russian President Vladimir Putin has an invitation to visit Iran, but the dates have not yet been agreed. REUTERS Join ST's Telegram channel and get the latest breaking news delivered to you.
Yahoo
15-05-2025
- Business
- Yahoo
Russian-backed union free trade deal with Iran goes into effect
MOSCOW (Reuters) -The Russian-led Eurasian Economic Union (EEU) free trade deal with Iran went into effect on Thursday, paving the way for increased trade across sectors ranging from agriculture to metals, a senior Russian official was quoted as saying. The EEU also includes Kazakhstan, Belarus, Armenia, and Kyrgyzstan, but Russia is by far the largest economy in the union. Russia and Iran have grown closer in recent years and trade between the two countries, both heavily sanctioned by the West, grew by 16% to $4.8 billion last year. Moscow and Tehran signed a 20-year strategic partnership agreement in January, the two countries have supplied each other with weapons, and Russia has defended what it says is Tehran's right to peaceful nuclear energy. "Over the past decades, Iran has protected its market by encouraging the development of its own competencies within the country, and for the first time in its history, has opened its market to goods from third countries," Deputy Prime Minister Alexei Overchuk told Russian news agencies. He estimated that the average tariff applied by Iran to Russian goods under the deal will fall to 5.2% from the current 16.7%, saving Russian exporters about $300 million a year. Iran's Oil Minister Mohsen Paknejad, who visited Moscow in April, stated that the free trade deal will increase bilateral trade to $6 billion. Iran was the third-largest buyer of Russian wheat in 2024. Overchuk said that Russian exporters of rolled products, metal structures, pipes, paper, radar equipment, grains, sunflower, soybean, and rapeseed oils, as well as sunflower seeds, are set to receive the most benefits from the deal. The Kremlin said on Wednesday that Russian President Vladimir Putin has an invitation to visit Iran, but the dates have not yet been agreed.
Reuters
15-05-2025
- Business
- Reuters
Russian-backed union free trade deal with Iran goes into effect
MOSCOW, May 15 (Reuters) - The Russian-led Eurasian Economic Union (EEU) free trade deal with Iran went into effect on Thursday, paving the way for increased trade across sectors ranging from agriculture to metals, a senior Russian official was quoted as saying. The EEU also includes Kazakhstan, Belarus, Armenia, and Kyrgyzstan, but Russia is by far the largest economy in the union. Russia and Iran have grown closer in recent years and trade between the two countries, both heavily sanctioned by the West, grew by 16% to $4.8 billion last year. Moscow and Tehran signed a 20-year strategic partnership agreement in January, the two countries have supplied each other with weapons, and Russia has defended what it says is Tehran's right to peaceful nuclear energy. "Over the past decades, Iran has protected its market by encouraging the development of its own competencies within the country, and for the first time in its history, has opened its market to goods from third countries," Deputy Prime Minister Alexei Overchuk told Russian news agencies. He estimated that the average tariff applied by Iran to Russian goods under the deal will fall to 5.2% from the current 16.7%, saving Russian exporters about $300 million a year. Iran's Oil Minister Mohsen Paknejad, who visited Moscow in April, stated that the free trade deal will increase bilateral trade to $6 billion. Iran was the third-largest buyer of Russian wheat in 2024. Overchuk said that Russian exporters of rolled products, metal structures, pipes, paper, radar equipment, grains, sunflower, soybean, and rapeseed oils, as well as sunflower seeds, are set to receive the most benefits from the deal. The Kremlin said on Wednesday that Russian President Vladimir Putin has an invitation to visit Iran, but the dates have not yet been agreed.
