Economic Empowerment
Empowering black people, women and persons with disabilities Government wants a nation in which prosperity and opportunity is shared by all. For many decades the economy has been held back by the exclusion of the vast majority of the South African people. Black South Africans were deprived of land, capital, skills and opportunities.
The economy was starved of the potential of its people, and that is why government needs to transform the economy and make it more inclusive. That is why government’s focus is on empowering black people, women and persons with disabilities because they were deliberately excluded from playing a key role in the economy of their own country.
Government will set up a transformation fund worth R20 billion a year over the next five years, to fund black-owned and small business enterprises. It will fast-track the regulations of the Public Procurement Act, 2024 (Act 28 of 2024) to ensure businesses owned by women, youth and persons with disabilities receive equitable opportunities in government contracts.
Government will continue to provide training to women entrepreneurs to enable them to compete for government tenders. In November last year, it launched the National Skills Fund Disabilities Programme. In its first phase, this transformative initiative will empower over 10 000 persons with disabilities through tailored training programmes, stipends and specialised tools.
This part of the work government must undertake as business, government, labour and civil society to enable persons with disabilities to play an important part in the economy of the country. Through these programmes, government is not only righting a grave historical wrong, it is unleashing the potential of the economy for sustained growth.
“We want a nation where there is work for all, where every person can earn a decent living and realise their potential. Where the rights of workers are protected and working conditions improved, where women and men receive equal pay for work of equal value. We need to ensure that growth creates jobs for all, especially for young people.” – President Cyril Ramaphosa, SoNA, 6 February 2025, Cape Town City Hall.
Industrial Policy
This year, government will finalise a modernised and comprehensive industrial policy that drives economic growth. It will achieve this ambition by focusing on the opportunities in localisation, diversification, digitisation and decarbonisation.
Africa
Government is working towards the full implementation of the African Continental Free Trade Area, which will tear down the barriers to trade on the continent. As the most industrialised economy in Africa, South Africa is positioning itself to be at the centre of this new and growing market.
Green economy
Government is harnessing the sun and the wind to make the country a leader in renewable energy and green manufacturing. With an abundance of cheap, green energy, South Africa can produce products that are competitive anywhere in the world and create hundreds of thousands of new jobs in the process.
“We are making sustainable use of the rich abundance of the South African earth. By supporting our farmers, improving our logistics network and rural supply chains, and opening new export markets for products, we can significantly expand our agricultural sector. We want South Africa to be leading in the commercial production of hemp and cannabis.” – President Cyril Ramaphosa, SoNA, 6 February 2025, Cape Town City Hall.
Mining
Government is breathing new life into the mining industry, which remains one of our most important and valuable endowments. It is on track to implement a new, modern and transparent mining rights system this year, which will unlock investment in exploration and production. It will put in place an enabling policy and regulatory framework for critical minerals.
“By beneficiating these minerals here in South Africa, we can make use of the extraordinary wealth that lies beneath our soil for the benefit of our people. Even more valuable than our natural resources are the diversity, energy and talent of the South African people.” – President Cyril Ramaphosa, SoNA, 6 February 2025, Cape Town City Hall.
Business support
Government is expanding its support for small and medium enterprises, and for the informal economy, which sustains millions of jobs and livelihoods across the country.
This includes streamlining funding for small businesses, unlocking venture capital for high-growth start-ups, and developing a regulatory environment that enables rather than restricts informal enterprises.
To build an innovative economy, the Department of Science, Technology and Innovation will establish an Innovation Fund to provide venture capital to tech start-ups that emerge from higher education institutions.
“We are calling on business to use the SA Youth.mobi platform, which has some 4.5 million young people registered, for their hiring. We are calling on business to support the Youth Employment Service and to scale-up workplace experience opportunities over the coming year. We want a nation where no one goes hungry.” – President Cyril Ramaphosa, SoNA, 6 February 2025, Cape Town City Hall.
