By Lehlohonolo Lehana.
President Cyril Ramaphosa launched Phase 3 of the Government Business Partnership for Growth and Jobs, marking the next chapter of the joint effort between government and business to accelerate inclusive economic growth, unlock investment, strengthen confidence and create jobs.
South Africa has been stuck at around 1.1% growth for a decade, a rate insufficient to absorb the 300 000 people entering the job market each year.
The first two phases have laid the foundation for one of the strongest government-led reform drives since the dawn of democracy in SA, with important electricity and logistics sector reforms aimed at de-shackling Eskom and Transnet’s monopolies and attracting significant private-sector investment.
Mining, along with Tourism, Agriculture and Agro-processing, were additions to the partnership for Phase 3.
Business Leadership South Africa (BLSA) chair Adrian Gore outlined some of the green shoots that have presented SA with a unique opportunity to embark on this ambitious growth programme.
“There is genuine potential for growth,” said Gore, who is also CEO of Discovery Group.
“Load shedding has ended, logistics is recovering, credibility is being restored, the green shoots are real. It proves when business and government work together this country solves problems many people consider unsolvable.”
These green shoots include six quarters of positive growth, two ratings upgrades by S&P and Fitch, a 13% recovery in the value of the rand in 2025 – the best in 16 years – and an inflation rate of 3.2%, the lowest in two decades.
Regarding state-run logistics group Transnet, which has been on the rebound under group chief executive Michelle Phillips, Phase 3 aims to have six private train operating companies on the lines in 2027.
The momentum to reform Eskom will be maintained, with the South African Wholesale Electricity Market set to be launched by early 2027 – delayed from an initial target of April 2026 – which will replace the historic monopoly and its single buyer model with one based on transparent, competitive pricing.
An additional 550km of transmission line is scheduled to be built by March 2027.
On the mining front, Phase 3 says the cadastre system will be rolled out, also by March 2027. This was announced in June by the Department of Mineral and Petroleum Resources — the latest in a long list of promised dates – but it is now embedded in an initiative that has Ramaphosa’s weight behind it, upping the political pressure on the department to finally deliver.
“These sectors have been selected because they have significant potential to attract investment, earn foreign revenue, strengthen localisation and create employment at scale,” Ramaphosa said.
Ramaphosa said, “What started as a platform to address multiple crises has evolved into a platform for growth and shared prosperity.”
“This partnership has endured because our ambition for SA is strongly aligned. We both seek an economy that is growing, an economy that is creating jobs, and an economy that includes those who have been left outside it for too long.”
“Through our efforts, our economy is again showing signs of sustained recovery. More rapid and inclusive economic growth is within our reach.”
Detailed delivery plans and metrics for each focal area will be announced in the fourth quarter of 2026.
Both Gore and Ramaphosa also underlined the importance of making visible progress in the area of crime and corruption, where Gore said success would act as a “confidence multiplier”.