The invitation signals Eswatini's ambition to position itself as a regional services and manufacturing base for rail supply chains extending across the sixteen-member SADC bloc, rather than solely as a corridor country. For an operator the size of SMH Rail, a base in Eswatini could offer proximity to several regional rail networks without requiring a standalone presence in each individual market. The discussions remain at an early, exploratory stage, with no site, investment figure or implementation timeline confirmed.
The accompanying Eswatini Railways figures show Inland Container Depot tonnage running behind budget across each of the last four reported financial years, with 2024/25 actual tonnage of 105,893 tonnes against a budgeted 160,250 tonnes. That gap provides operational context for Eswatini's interest in new rail-sector investment: additional manufacturing or maintenance capacity in-country would support the network's broader utilisation, even though SMH Rail's proposed role would sit alongside, rather than resolve, the existing volume shortfall.
- King Mswati III met a delegation from SMH Rail, led by founder, Chairman and Managing Director Datuk PK Nara, to discuss establishing a base in Eswatini.
- SMH Rail is a Malaysia-based rolling stock manufacturing and maintenance company.
- Eswatini Railways' Inland Container Depot recorded actual tonnage of 105,893 tonnes against a budget of 160,250 tonnes in the 2024/25 financial year.
- The Inland Container Depot recorded actual tonnage of 121,811 tonnes in 2023/24 against a budget of 147,000 tonnes, and 73,994 tonnes in 2022/23 against a budget of 87,041 tonnes.
- The Inland Container Depot recorded actual tonnage of 62,144 tonnes in 2021/22 against a budget of 105,000 tonnes.
King Mswati III has invited Malaysian rail manufacturing and maintenance company, SMH Rail, to establish a branch in Eswatini that could serve markets across the Southern African Development Community (SADC) region.
The invitation was made during a bilateral meeting between the King and senior executives of SMH Rail, where potential investment opportunities in Eswatini were discussed.
King Mswati III said discussions focused on developing a partnership that would allow SMH Rail to establish operations in Eswatini and use the country as a base to service other SADC member states.
The King said discussions with SMH Rail concluded that the company and Eswatini should come together to develop the idea further, with the two parties working out how SMH Rail could establish in Eswatini and, from Eswatini, service the other 16 states which are members of SADC, so that business could continue to thrive.
He said a partnership with SMH Rail could create opportunities for both the company and Eswatini.
King Mswati III and SMH Rail founder, Chairman and Managing Director Datuk PK Nara at a dinner held in the King's honour.
The SMH Rail delegation was led by its founder, Chairman and Managing Director, Datuk PK Nara, together with senior company executives. The company expressed interest in establishing a branch in Eswatini to support its operations and service the wider SADC market.
SMH Rail is a rolling stock manufacturing and maintenance company specialising in rail-related technologies and solutions. The company provides manufacturing, maintenance and related services to the rail industry.
The proposed investment would position Eswatini as a potential regional base for SMH Rail's operations, with the company able to explore opportunities in rail infrastructure, rolling stock manufacturing and maintenance across SADC.
The engagement forms part of efforts to attract investment into Eswatini and strengthen partnerships with international companies in sectors with potential to support regional economic development.
According to figures from Eswatini Railways, the Inland Container Depot (ICD) has recorded varying levels of tonnage, revenue, container volumes and train movements over the past decade, covering the 2014/15 to 2024/25 financial years.
For 2024/25, the ICD recorded actual tonnage of 105,893 tonnes against a budget of 160,250 tonnes. This followed actual tonnage of 121,811 tonnes in 2023/24, compared with a budget of 147,000 tonnes.
In 2022/23, actual tonnage stood at 73,994 tonnes against a budget of 87,041 tonnes, while 2021/22 recorded 62,144 tonnes compared with a budget of 105,000 tonnes.
