With the economy on the mend, the country is working to bring load reduction to an end, says President Cyril Ramaphosa, delivering the Presidency’s budget in parliament yesterday.
For close to two decades, load shedding was one of the largest constraints to economic growth and social development.
Ramaphosa says SA is working to end load reduction
Ramaphosa cited growth and creating jobs as his priorities. “The macroeconomic environment has improved, tax collection revenues remain strong, public finances are in better shape and national debt has stabilised,” he said.
But he highlighted the impact of the Gulf war on the world and the country’s economy. “These developments are likely in the immediate term to slow economic growth and hamper our efforts to create jobs.”
He touched on last week’s ratings agency Moody’s report that lifted SA’s rating outlook from stable to positive, coming six months after S&P lifted SA’s credit rating for the first time in two decades.
He said the sixth SA Investment Conference secured investment pledges in excess of R890 billion, with a substantial portion from domestic investors.
“When local investors show confidence in the prospects of the economy, international investors follow suit.”
The president welcomed the establishment of the portfolio committee on the Presidency, the first to be dedicated to overseeing the performance of the Presidency since 1994.
R1 trillion infrastructure investment plan
The Presidency ensures the efforts of departments, provinces, municipalities and social partners are coordinated and directed towards developmental objectives.
He also announced a plan to invest R1 trillion in “the largest infrastructure build in South Africa’s history”.
This entailed building and refurbishing roads, dams, schools, hospitals and clinics, as well as energy, logistics and transport infrastructure over the next three years.
The focus placed on Transnet supported by the national logistics crisis committee has resulted in performance improvement in railways and ports that has eased long-standing bottlenecks across mining, agriculture and manufacturing.
Between January and March, agriculture recorded an 11% increase in export earnings compared to last year. “SA is now the world’s largest exporter of citrus by volume. Access to productive land is essential to increase agricultural output, create jobs and lift people out of poverty.”
Land Reform and Rural Development Minister Mzwanele Nyhontso will outline the programme to convert agricultural leases to title deeds.
