The plan to triple South Africa’s economic growth

President Cyril Ramaphosa convened with government ministers and top South African business leaders to reaffirm the Government Business Partnership’s commitment to achieving their shared ambition of significantly growing the economy.
The Presidency and Business for South Africa (B4SA) said in a joint statement that the focus for 2025 is on accelerating the crucial reforms, operational improvements, and key interventions in:
- Energy
- Transport and logistics
- Crime and corruption
- Youth employment
In 2023, organised business (comprising about 150 CEOs) pledged its support to the government, offering expertise and capital to help fix the country’s problems in three key areas: electricity, transport and logistics, and crime and corruption.
This was known as Phase 1.
During Phase 1, businesses contributed over R250 million in direct funding, deployed more than 350 experts, and engaged 57 companies in power station interventions, contributing over 9,000 hours to Eskom.
The contribution of the partnership, working alongside other stakeholders, led to the dramatic reduction in load shedding, which crippled the country’s economy, stands out as an important achievement.
Additionally, R700 million was invested in key transport corridors, over 500 security personnel were assigned to Transnet Freight Rail, resulting in a 50% reduction in security incidents on critical coal transport lines, and R57 million was allocated to establish a forensic analysis centre.
The partners cited the promulgation of the Electricity Regulation Amendment Act (ERA) and the release of the Transnet Network Statement in December as notable examples of policy steps taken by the government in this regard.
Now, in Phase 2, which was launched in October 2024, the government and the business partners say that the full implementation of the above-mentioned interventions, in addition to the reforms already underway, has the potential to significantly lift GDP growth.
Adrian Gore, Business Unity South Africa (BUSA) Vice President and co-convenor of the partnership, previously said that if these issues are addressed, at least 3% GDP growth can be achieved.
This is triple what was forecasted for 2024, with experts such as the Reserve Bank, the IMF, the National Treasury, and the World Bank anticipating anything between 1.1% and 1.6% growth.
“We are setting out stretched goals, but the prize is big; if we keep our heads down, it really can be done,” said Gore.
“Research commissioned by us from the Bureau for Economic Research shows how big the prize is,” said Gore.
“If we expedite reforms, more quickly achieve operational improvements at Transnet and Eskom, and swiftly mobilise private sector investment – we could see GDP growth reach 3.3% by the end of 2025, providing a crucial uplift from the current baseline,” he added.
The partners noted at the meeting, held on 16 January 2025, that South Africa needs to attract the substantial investment needed to help drive more robust and inclusive economic growth.
The partners acknowledged that while considerable progress has been made there is a need to accelerate efforts to deliver on their ambitious plans.
The partnership is based on a set of principles, exceptional governance, a well-defined delineation of roles between government and business, and a results-driven approach to achieving meaningful progress.
As host of the G20 summit and the B20, the government and businesses said that South Africa would be able to showcase the partnership as a uniquely successful public-private collaboration model.
B4SA and the Presidency said in a joint statement that the year ahead presents an important opportunity to craft a more optimistic “SA Inc” narrative and drive increased investment, economic growth, and job creation.
Ramaphosa said, “As we begin what promises to be a momentous year, there is much progress to build on.”
“We know that to achieve a goal of 3% economic growth will require an extraordinary effort, not just from this partnership but from all stakeholders and all South Africans.
“This means we have to remain focused and purpose-driven and accelerate implementation. Together, we are moving ever closer to the promise of a thriving and inclusive economy that meets the needs of all our people,” added the President.