
Cyril Ramaphosa 🇿🇦|May 27, 2025 14:35
Honourable Members,
The main elements of our economic strategy are outlined in the Medium Term Development Plan.
The apex priority of the MTDP is to achieve inclusive growth and job creation.
This plan is underpinned by a stable macroeconomic framework, which creates a conducive environment for long-term investment.
To achieve higher levels of economic growth we are undertaking massive investment in infrastructure building, upgrading and maintainenance.
In the Budget Speech last week, the Minister of Finance confirmed that public infrastructure spending over the next three years will exceed the R1 trillion mark.
He noted that allocations towards capital investment remains the fastest-growing area of spending, ensuring that we use our resources to support growth.
Public spending on infrastructure will be complemented by reforms to the regulatory framework to enable public-private partnerships, as well as streamlining infrastructure financing and project preparation mechanisms.
A further pillar of our economic strategy is to support sectors with a high potential for growth and job creation.
This includes growing our key export sectors like mining and agriculture, while developing new industries such as renewable energy, electric vehicles and green hydrogen and harnessing our unique advantages in the green economy.
We are strengthening the capacity of the state, including turning around the financial and operational performance of SOEs and improving delivery in local government.
We are working in partnership with business and alongside other social partners to promote employment through public and social employment, work experience and training initiatives.
Finally, we are implementing structural reforms to increase efficiency and competitiveness, while addressing constraints on job creation.
The second phase of Operation Vulindlela is an important part of our strategy to drive more rapid and inclusive economic growth, and was approved by Cabinet in March this year.
This will be achieved by sustaining the momentum already developed and following through on the implementation of existing reforms to realise their full impact.
This includes transforming the electricity sector to achieve energy security , creating a world-class logistics system to support export growth , investing in water infrastructure to ensure water security , and reforming the visa system to attract skills and investment .
The reform agenda is being expanded into new areas to improve the performance of local government, create dynamic and integrated cities to enable economic activity , and to harness digital public infrastructure as a driver of growth and inclusion .
As part of this next phase of reform, Cabinet recently approved an ambitious Digital Transformation Roadmap to leverage digital public infrastructure as a driver of growth, focusing on digital identity, digital payments, data integration and digital services.
At the direction of Cabinet, the Presidency and National Treasury are working to develop an integrated economic growth strategy which will bring together these interventions in a coherent, focused and carefully prioritised manner.
There is absolute agreement within the Government of National Unity that achieving growth and job creation is our most important and urgent priority.
I thank you.
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