President Cyril Ramaphosa: South Africa Investment Conference

Programme Directors,

Deputy President of the Republic of South Africa, Mr.Shipokosa Paulus Mashatile,

Minister of Trade, Industry and Competition of the Republic of South Africa, Mr Parks Tau,

Ministers and Deputy Ministers,

Premiers of the provinces,

Secretary-General of the African Continental Free Trade Area Secretariat, Mr. Wamkele Mene,

Mayor of the City of Johannesburg, Cllr Dada Morero

Ambassadors and High Commissioners,

Business leaders,

Representative from labour, civil society and political formations,

Guests,

Ladies and Gentlemen,

 

Good morning, 

 

Welcome to South Africa and to Gauteng, the Place of Gold – our country’s largest economic hub.

 

A hundred and forty years ago, the discovery of gold beneath the soil here set in motion an industrial boom that would shape South Africa’s economic destiny.

 

Today, Gauteng is a financial and industrial powerhouse that contributes the largest share to our national GDP. 

 

The City of Johannesburg is Africa’s financial capital and home to Johannesburg Stock Exchange, the largest and most advanced bourse on the continent.

 

The story of Johannesburg, a city founded on the promise of opportunity is a reflection of South Africa itself. 
 

We are a young nation, just thirty-two years old. The Dawn of democracy in 1994 secured our freedom, but it also unleashed our potential. It set us on an irreversible path towards progress and shared prosperity.

 

Today South Africa is the largest, most industrialised, open and diverse economies on the African continent. 
 

Our economy is dynamic, enterprising; and is finely calibrated for growth and powered by innovation. 

 

We have an economy that has proven itself to be remarkably resilient: it weathered the transition from apartheid, the global financial crisis, years of state capture, a debilitating energy crisis and the COVID-19 pandemic.

 

Even amidst these strong headwinds the South African economy has maintained core financial and institutional stability. 
 

This year’s South Africa Investment Conference takes place against a backdrop of growth and recovery. 

 

Investment conferences such as this are an opportunity for us to showcase the attractiveness of investment opportunities in our country to domestic and international investors. By connecting investors with local opportunities, we are able to attract foreign direct investment (FDI). They also facilitate strong partnerships by bringing together governments, business, banks and development finance institutions.

 

Under the Government of National Unity formed after the 2024 elections, we have recorded four consecutive quarters of growth into early 2026 and our economy is creating more jobs.Inflation is stable and is converging towards our 3 per cent target. Our sovereign rating has been upgraded, and last year we were removed from the Financial Action Task Force (FATF) grey list. 

 

Last year, South Africa hosted the first summit of the G20 on African soil. Our G20 Presidency elevated South Africa’s global profile and deepened bilateral relationships that are today reflected in investment commitments from fifteen source markets across five continents.

 

We are meeting at a time of uncertainty for the global economy. Geopolitical fragmentation, supply chain disruptions from conflicts and wars and trade tensions are radically impacting global capital flows.

 

In such conditions, South Africa presents a favourable proposition as a resilient, credible and reform-oriented investment destination with strong fundamentals. 
 

Your presence here today signals that as investors you see what we see: real and enduring potential, long-term value and untapped opportunity.

 

Today we have with us more than 1 000 delegates from more than 50 countries who believe in South Africa’s potential and see this as a favourable place to invest and do business. You are here because you want to be part of our growth story.
 

Between 2018 and 2023 having set a target of attracting R1 trillion in investments, we attracted R1,5 trillion in credible, verified investment commitments in energy, telecoms, infrastructure, property, mining, advanced manufacturing and across a range of sectors. This proved that South Africa is an investable market and ready for business. 

 

Our investment strategy is anchored in sectors that will drive growth and create jobs at scale, including manufacturing, mining beneficiation, digital infrastructure, agriculture, and green industrialisation.
 

This sixth South Africa Investment Conference is being convened under the 3 D’s framework, namely Decarbonisation, Digitisation and Diversification, with the Ease of Doing Business being a cross-cutting theme. 

 

We know that as investors you reward execution, not just commitment.
 

You are here because you value ambition. 
 

As investors, you are looking to investment destinations that have strong fundamentals, that are resilient, credible, and reform-oriented – and the South African economy meets this criteria.

 

This sixth South Africa Investment conference stands at the crossroads of opportunity and ambition, ready to turn pledges into projects on the ground.
 

The shift in our economic trajectory that we are witnessing now is the result of deliberate, sustained structural reform being driven by Operation Vulindlela.
 

Operation Vulindlela, which means “to open the way” in isiZulu, is a joint initiative of the Presidency and the National Treasury working together with other government departments to drive the implementation of far-reaching economic reforms for more rapid growth. 
 

Its mandate is simple: to reduce the cost and risk of investing in South Africa. Not through speeches but through measurable implementation.

 

The twin pillars of structural reform and policy responsiveness have enabled us to bring about far-ranging changes that are supporting our improved economic performance. 

 

A key priority for Operation Vulindlela from the outset was the crucial building block of visa reform to attract skills and grow the tourism sector.We know that investors aren’t just deploying capital, you need to establish a physical presence without undue bureaucratic delays. This is particularly critical for multinational firms that require seamless movement across borders.

 

We have implemented reforms to the visa regime to attract new skills and promote tourism, creating more flexible pathways for skilled immigrants through a points-based system and introducing a Trusted Employer Scheme to provide a fast-track visa process for major investors.

 

The electricity sector has undergone the most significant transformation since the advent of democracy. We have restructured the national power utility Eskom, established a National Transmission Company as an independent grid operator, and created the transparent, rules–based framework for grid access that private investors require. 

Through the Energy Action Plan that I announced in 2022, we have brought an end to load shedding and ensured a reliable supply of electricity. This is essential to allow businesses to operate and make decisions to invest.

 

Regulatory reforms in the electricity sector have already unlocked a significant and growing pipeline of investment, with more than 220 GW of renewable energy projects in development and 36 GW already in the grid connection process. 

 

Over the next five years, we will add massive new solar, wind and battery storage capacity to transition our economy towards cheap, green energy sources at scale. We are now moving rapidly to establish a competitive wholesale electricity market and to complete the unbundling of Eskom, through the establishment of a fully independent transmission operator. 

 

At the same time, we are moving to enable private investment in expanding our transmission network through Independent Transmission Projects for the first time.Transitioning to a low-carbon, climate resilient economy and society remains a priority, and is in line with our international climate commitments as well our ambitious Nationally Determined Contribution (NDC) to combat climate change.

 

Decarbonisation will create new industries, new jobs, and new opportunities in green hydrogen, battery storage, electric vehicle manufacturing and in the manufacture of components and infrastructure that a decarbonising world urgently needs. 

 

The R29 billion in confirmed renewable energy investment today is a vote of confidence in our rapidly transforming energy sector.
 

South Africa’s abundant mineral reserves make us uniquely placed to leverage the growing global demand for critical minerals needed for clean energy, for hybrid, electric and new energy vehicles, technological applications and by other heavy industries.

 

As the producer of more than 70 per cent of the world’s platinum group metals (PGM’s) and with some of the world’s largest manganese and chrome reserves, we are well-positioned as strategic partners in this rapidly growing sector.

 

We have been firm that the energy transition must be just and that it should leave no-one behind. Our Just Energy Transition Investment Plan 2023-2027 is a blueprint for decarbonising our economy and achieving energy security, whilst at the same time supporting affected communities and industries. 

 

Efficiency in the network industries is the backbone of a competitive economy.
 

As we have done with the electricity sector, we are driving a series of reforms in the logistics sector to build world-class rail network and ports that are efficient, competitive and support our exports.
 

The cornerstone of our reform programme is the National Rail Policy of 2022, complemented by the National Freight Logistics Roadmap of 2023. 

 

These policies enable private investment in port and rail operations. 

 

Last year we also signed a 25–year concession for the Durban Container Terminal Pier 2, representing R11 billion in private investment in one of South Africa’s most critical logistics nodes. 

 

A transparent and effective regime for third–party access to the freight rail network is now in place. 

Forty–one freight rail slots have been allocated to private train operating companies, and we expect the first private operator to commence operations in April 2027. By ending inefficient monopolies and introducing competition, we will reduce the cost of electricity and transport over time, enabling our manufacturing, mining, agriculture and other industries to thrive and compete.

 

Digital transformation holds significant potential for economic growth and investment.South Africa already has world–class digital infrastructure, near-universal internet access and smartphone penetration, and a regulatory environment that enables innovation. 
 

we are implementing reforms that will create a digitally enabled economy and position South Africa as a leading hub for digital and financial services.
 

In these ways, we are positioning South Africa to become a major player in the economy of the future, combining the lowest-cost solar and wind power in the world with advanced digital infrastructure and a skilled workforce that can compete at a global level.

 

The water sector continues to be strategic focus under the structural reform agenda. 

Reliable water access, governed by an equitable, transparent regulatory regime is key to business stability, and we have put in place a set of interventions to transform the provision and management of water services across the country.

 

We are prioritising reforms at the provincial and local government levels in both the immediate and long term that will create a sustainable and well-functioning water system.

 

First, we are establishing professionally run water utilities in all eight metros, with water revenues ring-fenced and invested back into maintaining and expanding water infrastructure. 

Second, we are establishing a robust regulatory framework to ensure that water service providers perform their functions effectively, and face consequences where they do not. 

 

We have embarked on a massive water infrastructure build programme including dam construction, distribution infrastructure upgrades, bulk water expansion and desalination. One such project is Phase 2 of the Lesotho Highlands Water Project that is targeted for completion between 2028 and 2030. These projects will be overseen by a new National Water Resources Infrastructure Agency. 

The water sector is ripe for investment, and we have set up a dedicated Water Partnerships Office to facilitate private sector participation in areas such as reducing non-revenue water, investing in wastewater treatment, water desalination and reuse, with more than R50 billion in projects already in development.Our structural reform agenda has laid the foundations—now we are harnessing its momentum.

 

We are embarking on the largest and most ambitious cycle of infrastructure investment in our country’s history. 
 

Infrastructure is the flywheel that propels growth. It boosts productivity and trade and reduces the cost of doing business. It creates immediate and meaningful employment - at scale. 

With this unprecedented investment, we are kickstarting the cycle. 

 

Over the next three years the state has budgeted for will be investing more than R1 trillion or approximately USD 58 billion in modernising and expanding public infrastructure across South Africa. 

 

This includes R940 billion in planned infrastructure spending, of which R375 billion has been allocated to state-owned companies to support maintenance, upgrades and expansion.

In addition to this, state-owned enterprises have allocated for major infrastructure projects over the medium term.

 

The South African National Roads Agency (SANRAL) will be investing between R300 billion and R400 billion for  upgrading and maintaining our national road infrastructure and for the development of strategic freight corridors. Up to R250 billion is being invested in ports and logistics modernisation, driven by Transnet. The Port of Durban is being expanded to handle higher container volumes and improve efficiency; with similar upgrades in Cape Town and the Port of Ngqura in the Eastern Cape. 

 

We will be allocating a total of approximately R420 billion to the Passenger Rail Agency of South Africa for rebuilding corridors and a multi-year rolling stock programme, as well as to Transnet for network expansion.

 

As I indicated earlier, the water sector has been earmarked for substantial public investment, with projects in the pipeline including  the Olifants Management Model Programme in Limpopo and the uMkhomazi Dam that is linked to Phase 2 of the Lesotho Highlands Water Project. 

Over the next three years approximately R6,5 billion will be invested in energy generation to support the Department of Energy’s roadmap for long term energy security.

 

Other projects in the investment pipeline are upgrades to OR Tambo International Airport, one of the continent’s busiest airports; investments in green logistics, and for electric vehicle infrastructure and incentives. One project of which we are particularly proud is a R5 billion investment for extending the capacity of the Square Kilometer Array (SKA radio telescope project in the Karoo region of the Northern Cape. The SKA is currently building two supercomputers that once completed, will be amongst the fastest in the world. 

 

This isn’t just a testament to the value of strategic public investment in digital infrastructure, it is also reflection of South African scientific excellence and world-class scientific research output. 

In my State of the Nation address last month, I said that we will be utilising innovative funding models that will reduce risk and attract investors to fast-track infrastructure projects. One of these is the Infrastructure Fund  that we established in 2018 out of the need to deploy blended finance to infrastructure development. 

 

Last year the Fund approved blended finance projects with a combined value of approximately R38 billion in water and sanitation, student accommodation, health, energy and transport.

Last year we also issued regulations for public private partnerships (PPP’s) in support of attracting more private sector participation and investment in the national infrastructure build. 

 

Lastly, we are also deploying innovative instruments such as the Credit Guarantee Vehicle to de-risk private investment in infrastructure.As South Africa, we remain committed to staying the course on fiscal discipline and to accelerating the momentum of the reform agenda – but also to leveraging investment to build an economy that is inclusive, transformed and that benefits all.

 

The transformation of our economy is necessary to drive sustained growth, reduce inequality and correct the injustices of the past. We are undertaking a review to refine, realign and strengthen our B-BBEE framework to ensure that it supports transformation while at the same time enabling investment and growth.

B-BBEE provides a foundation for inclusive growth by expanding participation in the economy and enabling us to harness the skills and contribution of all South Africans.

 

What makes South Africa’s empowerment laws distinct is that they are practical and innovative. In addition to pure equity participation measure we also have an Equity Equivalent Investment Programme (EEIP). It was created to accommodate multinationals whose global practices or policies prevent them from complying with the B-BBEE ownership element to invest in socio-economic, skills and enterprise development in South Africa without selling equity in their local subsidiaries.

 

Since its inception, the EEIP has onboarded some of the world’s leading multinational firms who have leveraged the programme to direct investment into local development, to incubate black, youth and women-owned businesses, and to fund skills development. 

 

Our overriding objective is to support firms with compliance, and to embrace empowerment as a meaningful investment in South African’s long-term economic stability. 

 

Ladies and Gentlemen, 

 

As I conclude we would like investments that are made should in the end deliver measurable benefits for our people. 
 

Investment projects must include clear local content plans, formal skills transfer initiatives, community development commitments, and transparent environmental safeguards. 

 

The skilling of our people especially young people is critically important as we embark on the skills revolution which is underpinned by a dual training system. We are expanding programs that will link training sent us, universities and companies to create the pipeline of technicians and project managers that are needed by our economy.

 

This is but an overview of the scale of the deep, transformative changes taking place in the South African economy as we seek to position ourselves as an investment destination of choice.This progress continues to be acknowledged by our international and continental development partners.

 

During our G20 Presidency we concluded a Clean Trade and Investment Partnership with the European Union valued at approximately EUR 12 billion (R237 billion), and structured across Just Energy Transition, infrastructure, skills, and pharmaceutical manufacturing.

 

The African Development Bank has also confirmed R20.5 billion for the 2026/27 financial year directed at infrastructure, energy transition, human capital, and governance. In addition, the SA–Afreximbank Investment Facility – anchored by Afreximbank’s R176 billion commitment to South Africa – a structured instrument that will channel patient, concessional capital into the sectors where the Second Drive requires it most.

 

The New Development Bank has also indicated that they will make approximately R34bn available over 2026/2027 period.At standard leverage ratios, the development finance institution commitments alone can mobilise between R393 billion and R786 billion in additional private investment over the drive horizon. That is what partnership at scale looks like.

This year’s South Africa Investment Conference marks the formal transition from recovery to expansion, and from rebuilding confidence to accelerating growth.

 

I have laid out just some of the sectors of our economy that are ripe for investment. 

Extensive opportunities also exist in agriculture and agro-processing, in professional and financial services, in property, digital technologies, advanced manufacturing, and other high-growth industries.

 

To crowd in investments across the breadth and range of the South African economy, today we are formally launching the second Presidential investment mobilisation drive with a target of R2 trillion in new investment over the next  five years, from 2026 to 2030.

 

This is not ambition for its own sake. It is the arithmetic of what South Africa requires to achieve meaningful unemployment reduction, to industrialise at scale, to lead Africa’s green transition and to build the infrastructure on which our people’s futures depend.

We do so with a keen appreciation of the current state of foreign direct investment (FDI). 

 

Across the continent, Africa as a whole accounts for only about 4 per cent of global FDI, and recent increases have been driven largely by once-off mega projects, such as a US$35 billion development in Egypt in 2024.

 

Although we remain a significant continental player, accounting for between 15 and 20 per cent of Africa’s total FDI, our growth depends heavily on domestic investment, 

 

The opening position of the second drive is the R415 billion confirmed fixed investment and R 474,8 billion in DFI being announced in this room today. That brings the total to R 889,8 billion. That’s 81 projects. 9 provinces. 22 source markets. Over 230 000 permanent jobs.  

 

This is only the start of an era of new growth and dynamism for South Africa’s economy.  

 

The accountability framework is unchanged from the first drive. Every investment announcement is vetted and signed, and represents a firm commitment by the business leaders in this room. Every year, we will report back on what has been promised and what has been delivered.
 

As we seek to deepen our trade and investment relations, as South Africa we remain committed to maintaining policy certainty and to accelerating the momentum of the structural reform agenda.

 

We are a country in the throes of reform. We are creating the conditions for investment–led growth that is broad–based, inclusive, and durable.

 

Let us move forward together – with confidence, with partnership, and with a shared commitment to South Africa’s success.

 

I thank you.

 

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