Let the private sector be a partner in creating proper infrastructure
SA is failing in its mission of investing in infrastructure to boost economic activity and access to services. A research report we released last month showed how investment has declined dramatically over the last five years. As a percentage of GDP, investment by state-owned enterprises has fallen 30% while central government investment has fallen 18%.
These percentages obscure how big the underlying numbers are. The country invested just below 18% of GDP in 2019. To boost that to 25% we would need to add R360bn a year, enough to build the Gautrain system 12 times over. To get it to the 30% target of the National Development Plan we would need to invest an extra R1.6bn on average every day...