Unlocking Eswatini’s Potential: The Surprising Reason Behind its Ship Registry

Unlocking Eswatini’s Potential: The Surprising Reason Behind its Ship Registry

Eswatini, ⁤a landlocked country, has a ship registry despite its lack of direct access to the sea. The shipping registry’s website, established in October 2023, boasts high-quality maritime services and ship registrations, but a closer look reveals some questionable claims. The port of‌ Mbabane, Eswatini’s capital, is actually a‌ “dry port” located 150km from the sea and 30km from a rail link to Mozambique’s Indian Ocean coast. Despite this, Eswatini claims to handle containers, bulk carriers, and tankers.

Eswatini‍ is not alone in offering its flag to shipowners. Many smaller nations provide ship registration as a source of revenue, with countries like Liberia, Panama, and‌ the Marshall Islands accounting for a significant portion of the global fleet. These countries, ⁤known as “flags of convenience,” offer favorable tax and regulatory conditions to⁣ shipowners.

While registering a vessel in a small jurisdiction may raise concerns, some countries take their ‌responsibility for overseeing maritime ‍regulations seriously. For example, Liberia’s registry, based near Washington, D.C., has​ a good record of maintaining global​ standards across its fleet.

2024-02-22 08:47:41
Article from www.economist.com

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