Although Asian-owned shops have featured prominently in the initial closures, the legislation is broader, targeting foreign participation in businesses that the government wants to reserve for or open up to emaSwati.
The crackdown follows Parliament’s approval of the Citizen Economic Empowerment Act, which seeks to give emaSwati, as citizens of the kingdom are known, greater access to business opportunities and sectors traditionally dominated by foreign operators.
The move comes after complaints from local traders that foreign-owned businesses are expanding into traditional retail markets, intensifying competition and threatening their livelihoods.
However, the enforcement has triggered a debate among lawmakers over how quickly foreign business owners should be required to leave and whether local entrepreneurs are prepared to take over their operations.
MPs agree on 12-month deadline after disagreement
The transition period sparked disagreement in Parliament, with lawmakers divided over how much time foreign business owners should be given to leave and train local successors.
According to the BBC, Mbabane East MP Welcome Dlamini proposed giving foreign traders three years to prepare emaSwati to take over their businesses, asking: “Why can’t we give the Asians or foreigners at least three years before ‘kicking them’ out so that emaSwati can learn to run the businesses?”
Hhohho Regional MP Tanele Magagula opposed the proposal, asking: “Why must we wait for three years while emaSwati suffer?”
Parliament eventually agreed on a minimum 12-month exit period. However, the BBC reported that the trade ministry could continue enforcing the existing law unless it is formally amended to reflect the agreement.
South Africa has also tightened restrictions on foreign traders
Eswatini’s move comes amid renewed pressure on foreign-owned businesses in South Africa, where anti-immigration protests and demands for greater economic opportunities for citizens have intensified in 2026.
In April and May, demonstrations organised by anti-immigration groups including March and March spread across Johannesburg, Pretoria and Durban, with foreign-owned shops targeted in violent attacks. Human Rights Watch reported that foreign nationals were assaulted and threatened, sometimes with little police intervention.
The tensions escalated in July, when more than 900 people were arrested during nationwide anti-migrant protests, while foreign-owned shops were looted and one person was shot dead in Johannesburg. In October, fresh demonstrations in Soweto and Durban again led to shop closures, looting and threats against immigrant traders.
The South African government has also pursued measures to strengthen local participation in township businesses, including tighter spaza shop registration and funding programmes reserved for qualifying South African-owned businesses.
However, the enforcement drive has raised concerns about the treatment of foreign traders, including those legally entitled to operate
Source: africa.businessinsider.com
