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From strategy to delivery: Gauteng’s response to the unemployment crisis

Addressing unemployment in Gauteng is about sustained, coordinated implementation that transforms growth into jobs, and jobs into dignity, stability, and hope, writes the MEC for Finance and Economic Development, Lebogang Maile. Unemployment remains one of South Africa’s most persistent and painful challenges. Nationally, the official rate eased to 31.4% in the fourth quarter of 2025 (down from 31.9% in the third quarter), according to the latest Statistics South Africa Quarterly Labour Force Survey. Yet Gauteng, the country’s economic engine, continues to grapple with a higher rate of 33.0%, with approximately 2.56 million residents unemployed, and recorded the largest provincial job losses of 54 000 in the same period. Even as the province shows a year-on-year employment increase of 102 000, these figures underscore that Gauteng is far from immune to the crisis. For years, the province has deployed a mix of supply- and demand-side interventions to tackle unemployment. While research has thoroughly documented its causes, scale, and consequences, the true measure of success is whether government action translates into real, sustained change in people’s lives. In his February 2025 State of the Province Address, Premier Panyaza Lesufi was unequivocal: unemployment ranks among Gauteng’s most urgent priorities. This challenge is intensified in 2026 by fiscal constraints, global economic uncertainty, volatile markets, and shifting geopolitical dynamics that impact investment, industrialisation, and trade. Against this backdrop, the adoption of the Gauteng City Region Economic Growth and Development Plan (2025–2030) in October 2025 marked a decisive shift toward evidence-driven, coordinated action. The plan serves as a strategic anchor for sustaining growth, enhancing competitiveness, and driving inclusive job creation. In the 2025/26 financial year, the Gauteng Department of Economic Development translated this strategy into tangible impact, placing unemployment at the heart of delivery. Interventions deliberately linked medium, small, and micro enterprise (MSME) development, investment mobilisation, tourism growth, and economic infrastructure. More than 2 300 MSMEs received non-financial support, while 2 128 accessed financial assistance worth R603-million through the Township Economic Partnership Fund, resulting in 11 833 jobs created, many in townships and local economies. These are not mere statistics; they represent restored livelihoods, strengthened community services, and more economically active neighbourhoods. Investment promotion added further momentum. The Gauteng Investment Conference secured R312.5-billion in pledges, with R61.2-billion already converted into active projects in manufacturing, logistics, and capital equipment sectors with strong employment multipliers. Tourism has complemented these efforts as a powerful absorber of labour, generating billions in direct spend and creating opportunities for youth, small businesses, and township enterprises. Looking ahead to 2026/27, the focus shifts decisively to scaling up impact. Priority infrastructure projects, action labs, township economic agencies, and MSME value-chain integration will drive labour-absorbing growth, crowd in private investment, and broaden economic participation. The message is clear: addressing unemployment in Gauteng is no longer about isolated interventions, but about sustained, coordinated implementation that transforms growth into jobs, and jobs into dignity, stability, and hope. This article was first published in the My Gauteng newsletter of February 2026.

Budget 2026 signals infrastructure push and investment drive to unlock growth

News / By Tasez

By Mandla Mpangase South Africa’s 2026 national budget has positioned infrastructure investment, structural reform and private-sector participation as the central levers to accelerate economic growth, attract investment and create jobs – priorities that align closely with the country’s industrialisation agenda and the expansion of Special Economic Zones (SEZs) such as the Tshwane Automotive Special Economic Zone (TASEZ). Delivering the budget in Parliament on 25 February 2026, Finance Minister Enoch Godongwana said the country had reached “an important turning point” in public finance management, with debt stabilising for the first time in 17 years and fiscal credibility improving following South Africa’s removal from the Financial Action Task Force (FATF) grey list and its first credit-rating upgrade in 16 years. “These are signals of restored credibility. Of renewed resilience. And of a nation regaining its footing.” These improvements, he argued, create the foundation for investment-led growth. “The lesson is a simple but powerful one: steady structural reform and responsible public finances are the bedrock of a prosperous and more inclusive South Africa,” he told Parliament. Infrastructure at the centre of growth strategy For industrial zones and manufacturing hubs, the most significant announcement is the government’s commitment to spend more than R1-trillion on public-sector infrastructure over the medium term. Transport and logistics will receive the largest share, including: These investments are critical for SEZ competitiveness, where efficient logistics, reliable utilities and modern transport connections are key determinants of investor decisions. Government is also advancing a credit guarantee vehicle (CGV) with development partners to unlock large-scale investment in electricity transmission, an intervention expected to improve energy security for industrial users. Structural reforms to unlock investment The budget reinforced ongoing reforms under Operation Vulindlela, focusing on energy market liberalisation, logistics reform and improved local government performance – all longstanding constraints on industrial expansion. Reforms to municipal utilities, including a R27.7-billion performance-linked programme for electricity, water and sanitation services in metros such as Johannesburg, are particularly relevant for industrial zones dependent on reliable municipal infrastructure. National Treasury warned that poor municipal reinvestment practices have created massive infrastructure backlogs, including a R64-billion water backlog in Johannesburg alone. For industrial investors, improved municipal governance could reduce operational risk and improve investment attractiveness in urban economic nodes. Public-private partnerships and industrial opportunity Government signalled a renewed push for public-private partnerships (PPPs), with 63 projects currently in development and new municipal public-private partnership regulations expected by June 2026. Among the most advanced projects are border post upgrades aimed at improving regional trade flows – a priority for export-oriented manufacturing located in SEZs. The Budget Facility for Infrastructure (BFI) has already approved R21.9-billion for strategic projects, including Transnet rail corridor upgrades that will restore freight capacity for bulk commodities – an important signal for industrial supply chains. Industrialisation, data infrastructure and new-economy investment The budget also highlighted data centres and artificial intelligence infrastructure as emerging strategic investment areas, with the government exploring incentives to expand South Africa’s role as a regional technology hub. For zones like TASEZ, which are seeking to attract advanced manufacturing and technology-enabled production, this focus could open opportunities for new categories of investors beyond traditional automotive manufacturing. Trade reforms linked to the African Continental Free Trade Area (AfCFTA) were also emphasised, with National Treasury easing cross-border investment rules to position South Africa as a continental financial hub. Skills reform and workforce development A major policy shift announced in the budget is the planned restructuring of the national skills system, including the introduction of a dual-training model combining theoretical learning with workplace training. This approach mirrors international vocational systems and could directly support industrial employers seeking artisans, technicians and production workers – a key workforce requirement for SEZ-based manufacturers. The government acknowledged that existing SETA (Sector Education and Training Authority) and National Skills Fund outcomes have fallen short and pledged reforms to improve labour-market readiness. Support for small businesses and suppliers Measures to support small enterprises include: For industrial zones, these policies could strengthen supplier development ecosystems by improving the sustainability of small manufacturers and service providers integrated into SEZ value chains. Growth outlook and job creation challenge Despite reform progress, economic growth remains modest, projected at 1.6% in 2026 and averaging 1.8% over the medium term, rising to 2% by 2028. “These developments are unfolding within an unprecedented global trade environment characterised by persistent geopolitical tensions and shifting trade policies which are reshaping supply chains,” the Minister said. “In response, we need to diversify our trading portfolios, secure new markets, reduce vulnerability to external shocks and position ourselves to benefit from emerging global growth centres.” While the government has acknowledged that logistics inefficiencies, infrastructure weaknesses and agricultural disruptions continue to constrain growth, infrastructure-led investment remains the most credible pathway to sustainable job creation. “Our efforts to promote faster economic growth continue to revolve around the four pillars: These pillars are the foundation upon which inclusivity is built, and how we ensure that growth is faster.” Implications for TASEZ and SEZs The budget sends several positive signals for Special Economic Zones: While SEZs were not explicitly mentioned in the Budget, the policy direction reinforces their role as catalytic platforms for industrialisation, localisation and job creation. Fiscal stability as an investment signal Debt is expected to stabilise at 78.9% of GDP in 2025/26, then decline gradually, while the budget deficit narrows to 3.1% by 2027/28. For investors, these indicators are significant. Improved fiscal credibility lowers borrowing costs, reduces macroeconomic risk and strengthens confidence in long-term investment decisions, particularly for capital-intensive manufacturing projects typically located in SEZs. A cautious but investment-focused trajectory Although the 2026 budget does not promise rapid economic expansion, it does signal a more stable policy environment and a stronger commitment to infrastructure-led growth. For industrial development initiatives like TASEZ, the combination of infrastructure spending, structural reform and skills investment provides a supportive policy framework. As Minister Godongwana concluded, inclusive growth and fiscal sustainability must move together if South Africa is to reduce unemployment and build a more competitive economy.

Premier puts jobs at centre of Gauteng’s growth drive in his State of the Province Address

News / By Tasez

By Mandla Mpangase Gauteng Premier Panyaza Lesufi has placed job creation at the heart of the province’s economic agenda, announcing a pipeline of investments and infrastructure programmes expected to support hundreds of thousands of employment opportunities across sectors. Delivering the 2026 State of the Province Address at the Nasrec Expo Centre, Lesufi adopted a more urgent and delivery-focused tone, stressing that Gauteng’s success will ultimately be measured by how effectively growth translates into jobs, particularly for young people. “The economic heartland of South Africa must never stop beating,” he said, linking infrastructure reliability, investor confidence and industrial expansion directly to employment creation. Investment into employment The Premier revealed that Gauteng has secured R27-billion in foreign direct investment over the past year, while R73-billion of projects announced at the inaugural Gauteng Investment Conference have already moved into implementation. These projects alone are expected to create about 114 000 jobs across manufacturing, logistics, energy and services. In total, confirmed investments across sectors could support roughly 250 000 employment opportunities, Lesufi said, describing the pipeline as one of the largest provincial job-creation drives in recent years. Major projects with significant employment potential include: Lesufi emphasised that these investments are not isolated announcements but part of a deliberate reindustrialisation strategy aimed at expanding Gauteng’s productive economy. TASEZ and industrial zones as job engines Special Economic Zones remain central to this strategy, with the Tshwane Automotive Special Economic Zone (TASEZ) – the venue for the 2025 State of the Province Address – highlighted as a flagship project for industrial job creation. The Premier confirmed that TASEZ has secured R1.61-billion in new investment and remains on track to deliver 4 000 construction jobs during its Phase 2 expansion. The automotive hub is also expected to generate long-term manufacturing employment through localisation and supplier development, reinforcing Gauteng’s position in global automotive value chains. Other SEZ initiatives, including the proposed Vaal SEZ and Tambo Springs logistics hub, are expected to further expand industrial employment and support small business participation in supply chains. Infrastructure unlocking employment Lesufi repeatedly linked infrastructure investment to job creation, arguing that reliable services are essential for both attracting investors and enabling economic participation. Following January’s water crisis, Gauteng has launched a R760-million upgrade programme in Johannesburg, alongside new reservoirs and storage projects across municipalities. Beyond improving services, these projects create construction employment and support industrial activity. The province will also establish a Bulk Infrastructure Agency to coordinate delivery across municipalities, a move intended to accelerate development projects and unlock additional private-sector investment. Transport infrastructure is another employment lever. Gauteng has already paid more than R9-billion toward e-toll debt to enable road maintenance and upgrades, while expansion plans for the Gautrain network and a proposed Gauteng-Limpopo high-speed rail link could generate thousands of construction and operational jobs. “These investments are about economic mobility – connecting people to opportunities and opportunities to markets,” Lesufi said. Community-level job programmes Beyond large infrastructure projects, the province is expanding direct employment programmes targeting unemployed youth. The Nasi iSpani initiative, supported by a R1.5-billion national Labour Activation Programme investment, is expected to unlock more than 30 000 training and workplace opportunities. Gauteng will also employ 2 500 young people to repair public infrastructure, including plumbing, paving and maintenance in communities. Refurbishment of 18 government buildings in Johannesburg, valued at R8-billion, will create more than 2 500 construction jobs over the next 30 months. Tourism, logistics and new sectors Tourism recovery is also contributing to employment growth. International arrivals increased to 3.8-million, generating R41-billion in revenue and supporting jobs across hospitality, transport and entertainment. Meanwhile, sector-focused “action labs” covering industries such as manufacturing, green economy and logistics will be relaunched in March to accelerate investment into high-growth sectors and convert plans into bankable projects that create jobs. Jobs as the measure of success Lesufi acknowledged ongoing risks, including infrastructure crime, illegal mining and municipal instability, but said declining crime statistics and coordinated law-enforcement interventions are improving the investment climate. He stressed that economic growth must translate into tangible improvements in people’s lives through employment, housing, healthcare and education. The Premier’s message was clear: Gauteng’s development strategy is now firmly centred on job creation, driven by infrastructure expansion, industrial zones such as TASEZ and partnerships with the private sector. “Our responsibility,” Lesufi said, “is to ensure that investment becomes jobs – and jobs become dignity.”

Gauteng Investment Conference 2026 sets sights on R200-billion at JSE launch

News / By Tasez

By Mandla Mpangase The Gauteng Provincial Government has formally launched the Gauteng Investment Conference 2026, positioning the event as a central mechanism to convert investor interest into tangible projects, infrastructure delivery, and job creation across South Africa’s economic hub. Gauteng MEC for Finance and Economic Development, Lebogang Maile, unveiled the initiative on 17 February 2026 at the Johannesburg Stock Exchange in Sandton, describing the venue as symbolic of the province’s ambition to mobilise capital at scale. “It is profoundly symbolic that we gather here today at the Johannesburg Stock Exchange as it represents the power of investment,” Maile said, noting the exchange’s market capitalisation of more than R24-trillion and its role in enabling businesses to access capital, expand operations, and create jobs. From pledges to projects The launch builds on the inaugural conference held in April 2025, which secured R312.5-billion in investment pledges across 60 projects, with expected support for more than 114 000 jobs and significant economic opportunities across sectors such as agro-processing, transport infrastructure, property development, and aviation. Maile emphasised that the provincial government is now shifting focus from commitments to delivery. “As of this month, 28% of the pledges secured in 2025 have already been converted into active implementation,” he said, adding that 17 projects are currently being rolled out, unlocking approximately R73-billion into the “real economy”. This conversion rate, he said, is central to Gauteng’s credibility as an investment destination, demonstrating that the conference is not an “event-driven exercise” but a continuous lifecycle spanning project origination, structuring, facilitation, and execution. A key example cited was the ongoing development of the OR Tambo International Airport precinct, which is emerging as a major logistics, manufacturing, and industrial hub. Strategic projects and industrial growth The 2026 conference will showcase large-scale catalytic projects aligned with corridor-based development and industrial clustering. These include: Maile said these projects are supported by feasibility studies, regulatory alignment, and institutional backing to strengthen Gauteng’s competitiveness and long-term growth trajectory. The conference also aligns with broader policy frameworks such as the African Continental Free Trade Area and Agenda 2063, with Gauteng seeking to deepen pan-African value chains and leverage international partnerships established through engagements in Europe and global investment forums. Targeting new commitments For 2026, the province aims to secure at least R200-billion in new investment commitments, a target Maile described as “pipeline-backed and supported by structured engagement with investors, development finance institutions and sector leaders”. Priority sectors include: The conference will also feature curated deal rooms and structured policy dialogues involving African governments, global investors, and private-sector stakeholders, with municipalities playing a central role in project preparation and approvals. “In 2025, we demonstrated that Gauteng can mobilise capital,” Maile said. “In 2026, we are showing that Gauteng can convert capital into projects, jobs and economic growth.” Improving investor confidence Speaking at the launch, Sam Mokorosi, Head of Origination and Deals at the JSE, said recent macroeconomic improvements were helping to restore investor confidence in South Africa. These include easing inflation, improving interest rate trends, stronger global engagement with emerging markets, and South Africa’s exit from the Financial Action Task Force grey list, followed by a sovereign credit rating upgrade. He noted that the FTSE/JSE All Share Index surpassed 100 000 points last year, with foreign participation and daily equity volumes increasing, alongside a healthy pipeline of new listings expected in 2026. “For Gauteng and for the Gauteng Investment Conference, these trends matter,” Mokorosi said. “They reinforce the message that confidence is returning — not abstractly, but in measurable ways that shape investment decisions and long-term growth prospects.” He added that the JSE is supporting investment mobilisation through new financial products, inward listings, and initiatives such as a voluntary carbon market, which issued its first carbon credit in 2025. Gauteng’s role in the continental economy As South Africa’s economic powerhouse, Gauteng contributes roughly 34% of the national GDP, about 7% of sub-Saharan Africa’s output, and drives around 60% of South Africa’s exports to the continent. The conference is therefore not only about provincial growth, but also about strengthening Africa’s industrialisation and regional value chains. The event, taking place on 9 April 2026, will bring together investors, development finance institutions, municipalities, business leaders and continental partners. “With the investment pipeline structured and coordination mechanisms in place, we are ready,” Maile said. “Together, we move from mobilisation to scaling — turning commitments into tangible impacts for our people and the economy.”

SONA 2026: A TASEZ wish list for South Africa’s industrial reset

Thought leaders / By Tasez

By TASEZ CEO Dr Bheka Zulu As South Africa prepares for the 2026 State of the Nation Address by President Cyril Ramaphosa on 12 February 2026, the Tshwane Automotive Special Economic Zone (TASEZ) – Africa’s first automotive city – is hoping to see an emphasis being placed on putting manufacturing at the centre of the country’s economic strategy. Manufacturing remains one of the few sectors capable of creating large-scale employment, driving exports and anchoring technology transfer. Yet, despite its strategic importance, South Africa’s manufacturing sector continues to underperform relative to its potential, constrained by energy insecurity, logistics inefficiencies and policy uncertainty. Special Economic Zones (SEZs) are among the most effective tools available to reverse this trend. Zones such as TASEZ have demonstrated that targeted infrastructure, incentives and policy alignment can crowd in private investment and build globally competitive industrial clusters. SONA 2026 is an opportunity to scale this model. From a TASEZ perspective, there are several policy signals we would like to hear. First, a credible manufacturing growth pactSouth Africa needs a clear, time-bound commitment to manufacturing expansion, aligned with the Industrial Policy Framework, the Automotive Masterplan and the transition to new energy vehicles (NEVs). This should include measurable localisation and export targets, backed by regulatory certainty. Investors require predictability; industrial policy cannot shift with every political cycle. Second, a competitive SEZ incentive regimeSEZs compete globally. Countries such as Morocco, Vietnam and Egypt have built industrial bases by offering compelling fiscal incentives, streamlined customs processes and reliable infrastructure. South Africa must remain competitive. Enhanced incentives, faster approvals and dedicated industrial energy solutions would materially improve the country’s investment proposition. Third, explicit positioning of SEZs as anchors of the green and automotive transitionThe global automotive sector is undergoing a structural shift towards electrification, batteries and smart mobility. South Africa risks being locked out of future value chains if it does not act decisively. SEZs should be designated as production hubs for NEV (new energy vehicle) assembly, battery manufacturing and hydrogen-related industries, supported by targeted incentives and infrastructure. Fourth, localisation that delivers for MSMEsLocalisation policy must translate into real procurement opportunities for South African firms, particularly black-owned and township-based enterprises. Stronger localisation thresholds in public procurement, integrated with SEZ supplier development programmes, can help domestic firms integrate into global value chains rather than remaining peripheral participants. Fifth, infrastructure as an industrial enablerIndustrial policy without reliable infrastructure is aspirational at best. Manufacturing requires predictable electricity supply, efficient rail and port logistics, and high-quality digital connectivity. Commitments to stabilise industrial energy supply and modernise logistics networks would significantly improve South Africa’s industrial competitiveness. Sixth, blended finance to bring in private capitalIndustrial projects are capital-intensive and long-term. Development finance institutions can play a catalytic role by de-risking SEZ-based projects through blended finance structures. Public capital, concessional funding and private investment must be combined at scale to accelerate industrial development. Finally, a national skills pipeline for advanced manufacturingFuture factories require technicians, engineers and digital specialists. Coordinated partnerships between industry, TVET (Technical and Vocational Education and Training) colleges, universities and SEZs could position South Africa as a manufacturing talent hub on the continent. SONA 2026 comes at a defining moment. Global supply chains are fragmenting, the energy transition is reshaping trade patterns, and the African Continental Free Trade Area offers an unprecedented market for manufactured goods. South Africa has the industrial base, institutional capacity and geographic advantage to benefit – but only if policy ambition is matched by execution. SEZs such as TASEZ are platforms for a new economic narrative: one where South Africa builds, makes and exports at scale. If SONA 2026 delivers a bold and credible manufacturing and SEZ agenda, it could mark the beginning of a long-overdue industrial reset.

TASEZ CEO positions automotive city as engine for jobs, skills, and inclusive growth

News / By Tasez

By Mandla Mpangase The Tshwane Automotive Special Economic Zone (TASEZ) is emerging as one of South Africa’s most significant industrial infrastructure projects, with the potential to accelerate manufacturing growth, deepen localisation and drive inclusive economic participation, according to TASEZ CEO Dr Bheka Zulu. Speaking in an interview with Poort FM on Tuesday, 10 February 2026, Zulu said the special economic zone had become a critical growth engine for the City of Tshwane, Gauteng and the national economy, particularly through its role in supporting the automotive sector. “It brings an engine for growth, an engine for development and an engine for innovation,” Zulu said. “It has been a pillar of employment for the city, especially for communities such as Mamelodi and surrounding areas.” Boosting manufacturing and exports Zulu highlighted TASEZ’s role in supporting the expansion of automotive manufacturing, citing the Ford investment at the adjacent Silverton plant, which has increased production capacity and strengthened South Africa’s export footprint in more than 100 global markets. He said government and industry aim to raise South Africa’s share of global vehicle production to above 1%, which would require output of about 1.4 million vehicles annually. “Part of our role is to support OEMs that have been in this country for decades, and ensure increased capacity, sustainability and meaningful jobs,” he said. Africa’s first automotive city TASEZ markets itself as “Africa’s first automotive city,” a concept Zulu described as a fully integrated ecosystem combining industrial, residential and social infrastructure. “It’s about bringing industry closer to where people live and play,” he said, adding that the automotive city model includes training, services, affordable business infrastructure and incentives to support investors and workers. Zulu said the vision is to position Tshwane as a globally competitive automotive hub, leveraging South Africa’s long history in vehicle manufacturing and attracting new original equipment manufacturers (OEMs). Focus on meaningful jobs and STEM skills Zulu emphasised that job creation must be linked to skills development, particularly in science, technology, engineering and mathematics (STEM). “Meaningful jobs are permanent jobs that bring innovation and future development,” he said. TASEZ has established the TASEZ Academy to train and reskill young people from surrounding communities, working with sector education and training authorities (SETAs) and other institutions to align training with industry needs. SMME development and inclusive procurement Zulu said small, medium and micro enterprises (SMMEs) are central to TASEZ’s development model, with incubation, mentorship and enterprise supply development programmes designed to integrate local firms into the automotive value chain. He noted that TASEZ has set a minimum target of 30% procurement spend for SMMEs and aims for 60% township procurement in line with Gauteng’s Township Economic Development Act (TEDA) framework. “We’ve injected more than R2-billion into local SMMEs, and we are still growing,” he said, adding that procurement targets prioritise black-owned businesses, women, youth and people with disabilities. Driving transformation and localisation Zulu acknowledged that transformation in the automotive sector has been slow, particularly in localisation and black industrialist participation, but said TASEZ is guided by the South African Automotive Masterplan 2035. The sector aims to increase local content in vehicle production from around 30-40% to 60% and raise black participation in the industry, which remains below 3%. “It’s a competitive world, and we need all hands on deck, government, industry and communities, to reach these targets,” he said. Preparing for electric vehicles and new technologies Zulu said the global shift toward electric and new-energy vehicles presents both risks and opportunities for South Africa, urging industry and policymakers to adapt quickly. “The reality is that we need to wake up and embrace new energy vehicles, automation and green manufacturing,” he said, adding that TASEZ plans to roll out charging infrastructure and is seeking partners with innovative technologies. Message to youth and entrepreneurs In closing, Zulu encouraged young people and entrepreneurs to engage with TASEZ, bring innovative ideas and participate in skills programmes and supplier opportunities. “Don’t lose hope. We are your partner. Knock on our door with your ideas, and we will help you grow,” he said.

We must build on the momentum of our economic recovery

Thought leaders / By Tasez

In his weekly newsletter on Monday, 26 January 2026, President Cyril Ramaphosa noted that the country’s economic recovery is on the up, with four consecutive quarters showing growth and unemployment showing a decline. As we enter a new year, the momentum of our economic recovery is gathering pace. In the last months of 2025, we saw a number of indicators that our collective efforts to rebuild our economy are bearing fruit. The economy has posted four consecutive quarters of growth. There has been a steady reduction in unemployment, while recent data released by Statistics South Africa shows that levels of poverty and inequality have declined considerably. Confidence in our economy is rising, the stock exchange has been performing well and the average inflation rate is the lowest in two decades. Late last year, South Africa exited the Financial Action Task Force grey list, which is an important signal of institutional improvement and a boost to investor confidence. We have also seen a sovereign credit ratings upgrade, reflecting strengthened fiscal credibility. While these signs of progress are encouraging, there is no time to rest. The difference between a temporary lift in growth and sustained shift in our economic trajectory lies in expanding investment. With a strengthening currency and rising commodity prices, we have wind in our sails. Now we must steer our ship towards greater prosperity for all South Africans. Last week, at its first meeting of the year, the Presidential Economic Advisory Council (PEAC) made clear proposals on how to achieve this goal. A body of respected local and international economists, academics and practitioners, the council provides strategic and evidence-based advice on policy decisions that promote economic stability, growth and inclusivity. The council said that government should translate recent positive developments into enduring growth by simultaneously boosting public infrastructure spending and lowering the cost of doing business. Increasing infrastructure investment is not simply about spending more. It is about delivering projects that reduce the cost of doing business, unlock growth and create jobs. Council members expressed strong support for the ongoing programme of structural transformation in key sectors such as electricity, logistics and water. These interventions, which have brought an end to load-shedding and improved rail and port performance, aim to enable competition, improve the efficiency of network industries and reduce costs across the economy. Our electricity reforms are critical to this effort. A competitive electricity market is essential to bringing down the cost of electricity. And lower electricity prices are critical for both inclusive growth and social development. Similarly, improving logistics performance in rail, ports and freight corridors remains essential to exports, industrialisation and job creation. In addition to boosting private investment, we need to achieve higher levels of public investment in infrastructure. Over the last few years, we have laid a solid foundation for investment by streamlining the regulations that have held back infrastructure projects, making it easier to pursue public-private partnerships, and establishing strong institutions such as Infrastructure South Africa and the Infrastructure Fund. We have committed more than R1-trillion of public funds for infrastructure projects over the next three years. We need to build on this foundation by strengthening our state-owned enterprises and enabling them to invest at much higher levels. We must do all of this at a time when the international environment is increasingly volatile and uncertain. Global growth is expected to remain subdued over the medium term and many countries are facing heightened trade and geopolitical tensions. This underscores the need for South Africa to sharpen its competitiveness and expand markets, particularly on the African continent. We must capitalise on the positive momentum of recent months by building strong partnerships, strengthening delivery, and closing the gap between policy intent and implementation. Only if our own institutions are strong can we compete and remain responsive in a rapidly changing world. During the course of this year, we need to double down on our efforts to grow investment and create jobs. We must seize the momentum we built and translate this into long-term gains for our economy. In the coming days, Cabinet will hold its annual Lekgotla to outline the actions that will be taken across Government and with social partners to achieve these goals. Through these actions, by working together, we will ensure that the progress we’ve seen in the last year will have an impact on the lives of South Africans this year.

Why TASEZ, and SA’s other SEZs, should care about the 2026 World Economic Forum

Thought leaders / By Tasez

As the 2026 World Economic Forum (WEF) annual meeting unfolds in Davos, Switzerland, it presents an opportunity for the Tshwane Automotive Special Economic Zone (TASEZ) to gain strategic insights into global business trends, writes TASEZ CEO Dr Bheka Zulu. While some may view Davos as an elite gathering far removed from local development practices, the reality is that the decisions, discourses and partnerships fashioned at this global crossroads directly shape the economic terrain in which TASEZ operates. At its heart, the WEF’s theme this year, “A Spirit of Dialogue”, reflects a global recognition that in an increasingly contested and fragmented world, renewed cooperation across sectors is essential to unlocking growth, managing technological disruption, and building resilient societies. The 56th global gathering – a diverse mix of governments, industries and sectors – takes place from 19 – 23 January 2026. South Africa, which will be sending a delegation to the WEF, is taking the key message that the country is ripe for investment and ready to do business. Davos is where global growth blueprints are crafted One of the key pillars of discussion in 2026 is unlocking new sources of growth, an agenda TASEZ must align with as it seeks to attract investment, scale industrial capacity and foster innovation. At a time when global growth is projected to slow and trade dynamics are shifting, constructive dialogue on growth strategies becomes vital. TASEZ should care because the forum shapes narratives about where capital flows next – whether it is into manufacturing hubs in Africa, decarbonising industries, or smart-technology value chains. Strategic awareness and engagement with the WEF ecosystem enable TASEZ to position itself within these narratives rather than being shaped by them. Technology and the future of work are not just global issues; they are local necessities. At the heart of WEF’s agenda is the rapid reshaping of work and skills due to artificial intelligence and other frontier technologies. These trends are not abstract discussions. Nearly one in five jobs worldwide could change significantly in the next five years, and reskilling labour forces is central to global competitiveness. For TASEZ, this has direct implications for workforce development, educational partnerships, and industry-ready training programmes. Being plugged into these global conversations helps ensure that TASEZ’s talent pipeline matches investor expectations and technological realities, especially in automotive manufacturing, digital services, and green tech sectors. Public-private collaboration is no longer optional The WEF thrives on multistakeholder cooperation, bringing together governments, businesses, civil society and experts precisely because global challenges today do not have single-actor solutions. TASEZ’s success depends on forging alliances that transcend borders: with multinationals scouting for regional entry points, with development finance institutions seeking credible partners in Africa, and with governments looking to catalyse industrial nodes. What happens in Davos is not simply a talk shop; it is where ideas are mooted, and alliances are formed – and it provides for participation far beyond Davos through an open digital media experience, including live-streamed sessions and community engagement. Take, for example, how subnational delegations use the forum to showcase investment roadmaps and attract concrete commitments. Recent state delegations to Davos have used the platform to situate long-term visions in front of global investors. A changing geopolitical and economic order matters to local zones too. This year’s Davos opens against the backdrop of a shifting geopolitical order where trade tensions, fragmented cooperation, and contested norms are no longer fringe concerns. For South Africa and TASEZ, geopolitical shifts translate into supply chain volatility, changing tariff regimes, and new expectations for economic zones to support resilient, diversified manufacturing. Simply put, ignoring these macrotrends undercuts the zone’s ability to anticipate risk and opportunity. Finally, Davos offers lessons in governance and accountability, relevant for an institution like TASEZ striving to model excellence in public-private economic management. Even global institutions like the WEF have had to grapple publicly with leadership transitions and internal scrutiny, a reminder that credibility and ethical leadership matter deeply in today’s interconnected world. TASEZ’s interest in the 2026 World Economic Forum is neither cursory nor ceremonial. This global meeting encapsulates the forces shaping 21st-century economies – from innovation ecosystems to skills futures, from cooperative governance to investment flows. Ensuring that the engagement extends beyond Davos is crucial, particularly for South Africa’s economic growth trajectory. South Africa, and by extension its special economic zones, should be not only anchored in the global economic currents, but able to influence them in ways that benefit the country and the broader continent.

Thank you to the people of South Africa for a historic G20 Presidency

Thought leaders / By Tasez

“We have placed Africa’s growth and development at the heart of the G20’s agenda,” writes South Africa’s president Cyril Ramaphosa in his latest weekly newsletter published on 24 November 2025 – the day after the closing of the 2025 G20 Leaders’ Summit. Over the past two days, our country hosted leaders from around the world for the G20 Leaders’ Summit in Johannesburg. This is the first time that the G20 has been hosted on African soil. Recognising the importance of this milestone, we have placed Africa’s growth and development at the heart of the G20’s agenda. The G20 matters for South Africa not only to cement our important role in international affairs, but also to support our own growth and create jobs for South Africans. We can only achieve these objectives in an environment of global stability, inclusive growth and a level playing field. Leading up to the G20 Leaders’ Summit, we hosted tens of thousands of delegates for more than 130 meetings in every part of our country, from Gqeberha to George, Cape Town to eThekwini, Hoedpsruit to Polokwane. We welcomed visitors from around the world to see and enjoy the beauty of our natural landscapes, the warmth of our people’s hospitality and the sophistication of our economy. Our G20 Presidency has been rooted in the conviction that the world needs more solidarity, equality and sustainability. While some have sought to create division and polarisation between nations, we have reinforced our shared humanity. We have fostered collaboration and goodwill. Above all, we have affirmed that our shared goals outweigh our differences. We have prioritised issues that are important for advancing more rapid and inclusive growth in our own country. We reached agreements that will benefit every South African. We secured a clear commitment from the international community to address the high levels of debt which divert spending by developing economies – including our own – on infrastructure, health and education. We placed this issue firmly on the agenda to increase investment on the continent and seize the unique opportunity that Africa presents. The G20 leaders agreed on the need for increased global investment for climate action. This will be crucial for South Africa as we undertake a just energy transition to a low-carbon economy in a manner that protects workers, businesses and communities. As the G20, we have agreed on the need for scaled-up disaster prevention and post-disaster reconstruction to address the rising impact of extreme heat, floods, droughts and wildfires. We raised this issue because a few areas in our country, particularly the Eastern Cape and KwaZulu-Natal, frequently experience disasters. We have secured international agreement on a new approach to critical minerals so that they become a source of prosperity and sustainable development in the countries that produce them. This supports our own ambition to use our extensive endowment of minerals to become a leading global player while ensuring that beneficiation takes place in South Africa and creates jobs in mining areas. This has been the People’s G20. It has given new prominence to engagement groups from across global society, bringing together sectors like business, labour, parliaments, scientists, think tanks, women, young people, start-ups, civil society, mayors and the media. We can be proud of what South Africa has achieved in hosting a successful G20 Presidency and guiding countries towards agreement on complex and important issues. This has been the historic effort to which all South Africans have contributed. We thank the many people who welcomed visitors to our country, and the security services who ensured that the G20 Leaders’ Summit and all G20 events took place without incident. We thank all the members of different social sectors who participated in the engagement groups and in other G20 activities throughout the year. We thank our Premiers and Mayors for having been such welcoming hosts. We thank our Ministers and Deputy Ministers, G20 Sherpas and government officials who guided the deliberations with wisdom and purpose. Above all, we thank each and every South African for contributing to this success, and for showing the world the strength of our values, the generosity of our people and the power of what we can achieve when we work together. Many of the foreign leaders and delegates who came to our country recognised what our Ubuntu spirit is all about. The success of the G20 Leader’s Summit, together with the improving performance of our economy and growing confidence in our reform programme, shows that South Africa is a country on the rise.

A key lesson from the G20: Industrialisation must power SA’s economic growth

Thought leaders / By Tasez

As South Africa concludes its historic G20 Presidency, the first hosted on African soil, a clear message has emerged: the world is ready to recognise Africa as a central engine of shared prosperity, writes the chairperson of the Tshwane Automotive Special Economic Zone, Maoto Molefane. We must make the most of the momentum. Over 22 and 23 November 2025, the G20 global leaders gathered in Johannesburg to endorse commitments that speak directly to the continent’s long-standing aspirations: equitable development, sustainable industrialisation, resilient economies, and fair participation in global trade. For South Africa, and for advanced industrial platforms like the Tshwane Automotive Special Economic Zone (TASEZ), this moment is far more than diplomatic symbolism; it is about accelerating economic growth to combat poverty and inequality, with industrialisation as a key driver of inclusive growth, job creation, and global competitiveness. The G20 2025 mandate President Cyril Ramaphosa’s closing message from the G20 Summit underscored the stakes. South Africa’s development needs – jobs for young people, robust infrastructure, energy security, thriving export industries – require global stability, inclusive growth and a level playing field. The G20 outcomes align directly with South Africa’s industrial ambitions: These are not abstract policy wins. They reshape the environment in which industrial zones like TASEZ operate: they unlock space for growth that is sustainable, technologically advanced and globally aligned. As President Ramaphosa said: “Together, we must accelerate progress towards the 2030 Sustainable Development Goals and the Pact for the Future. We have laid the foundation of solidarity. Now we must build the walls of justice and the roof of prosperity.” Industrialisation as an engine for growth Given that the 2025 G20 provided a strong voice for Africa, it must be noted that the continent has anchored the world’s supply chains for far too long without capturing its share of industrial value. “The greatest opportunity for prosperity in the 21st century lies in Africa,” President Ramaphosa said in his closing remarks. He described the continent as a driving force for future growth, innovation, mineral beneficiation, climate resilience and energy transition. The 2025 G20 Declaration calls for structural reforms, investment mobilisation, and digital transformation that place industrialisation at the heart of global development priorities. What this means for South Africa is that the country must build, manufacture, innovate, export, and compete. This is the work TASEZ – Africa’s first automotive city – was created to do. Based in the country’s capital city, TASEZ is demonstrating what coordinated industrial policy can achieve: TASEZ is not just an industrial hub; it is a catalyst for economic resilience and can serve as a model for the equitable, future-oriented development highlighted in the G20 Declaration. Beneficiation is a must The global commitment to fair critical mineral development provides South Africa a generational opportunity: to build integrated value chains centred on electric vehicles, battery manufacturing, renewable energy components and advanced materials. As the President noted, minerals must become “a source of prosperity and sustainable development in the countries that produce them”. This aligns perfectly with South Africa’s automotive transition strategy and TASEZ’s expansion into green manufacturing, downstream processing and high-value production clusters. The President called the 2025 summit the People’s G20, characterised by the engagement of business, labour, youth, scientists, mayors and civil society. This spirit of collaboration is the very essence of industrial and special economic zones, which rely on coordinated action between government, investors, communities and workers. South Africa’s G20 success, combined with improving economic indicators and growing confidence in our reform programme, demonstrates that the country is ready for a new industrial chapter based not on extractive development, but on shared value, skills development, innovation, and sustainable manufacturing. Looking ahead As global leaders return home, the world’s attention shifts from diplomacy to delivery. For TASEZ, the task is to translate the political momentum of the G20 into practical industrial capacity. The Johannesburg G20 summit marks a critical turning point for global industrialisation, especially for Africa. The commitments around infrastructure, climate transition, and inclusive development resonate deeply with our vision to build a sustainable, high-tech automotive hub that benefits local communities, talents, and small industrial players. However, for this to be more than rhetoric, the world must translate pledges into concrete investment, local value-chain development, and support for medium, small, and micro enterprises. The timing could not be better, as TASEZ ratchets up its Phase 2 developments. TASEZ will be focused on: The G20 Summit has shown the world what South Africa can achieve when united by purpose. As President Ramaphosa said: “Let us move forward together, demonstrating to the world that we have the capacity to confront and overcome the world’s challenges. Through partnerships across society, and by remembering our common humanity, we can create a more secure, a more just and a more prosperous world. Together, we can ensure that no one is left behind.” Now, industrialisation must carry that momentum forward. TASEZ stands ready to be part of that charge.