Public Works and Infrastructure Minister Dean Macpherson says government’s commitment of R1 trillion in public infrastructure investment between 2026 and 2028 signals a major step in rebuilding South Africa’s economy and strengthening State capacity.
Speaking at a recent briefing hosted by the Foreign Correspondents' Association of South Africa in Sandton, Macpherson described the allocation as the largest infrastructure commitment in South Africa’s history.
He said the investment sends a strong message to both local and international investors that government is serious about infrastructure-led growth.
Macpherson said government is positioning itself as a credible co-investor, capable of partnering with global capital to unlock economic expansion and job creation.
“Load shedding has ended, the regulatory framework is being actively streamlined, and R600 million has been committed to project preparation through Infrastructure South Africa.”
He said Infrastructure South Africa (ISA) plays a central role in translating government’s infrastructure ambitions into bankable, investment-ready projects.
“ISA is government’s dedicated engine for converting infrastructure ambition into projects that investors can back. It coordinates national departments, State-owned entities, municipalities and private sector sponsors.”
Macpherson said a key part of government’s broader State-capacity agenda is the establishment of a professional State Property Company, aimed at transforming State-owned assets into productive drivers of economic growth.
The proposed entity forms part of government’s efforts to professionalise public asset management, improve governance and ensure that State resources are used efficiently to support development and job creation.
Macpherson said the appointment process is at an advanced stage.
“We are finalising the appointment of a professional State Property Company. We want an institution that the market can trust, because credibility is critically important to us.
“I am confident that in the coming weeks, we will conclude the process with a capable partner committed to this vision. We are moving at the right pace,” he said.
President Cyril Ramaphosa first announced the initiative during the 2026 State of the Nation Address, describing it as a key intervention to strengthen the State’s ability to manage public assets strategically.
“This year, we will begin the work to establish a professional State Property Company to transform the 88 000 buildings and five million hectares of land owned by the State into professionally managed engines of growth and development,” President Ramaphosa said at the time.
The initiative aligns with government’s wider programme to rebuild State capacity through structural reforms under Operation Vulindlela.
Through the reform programme, government is working to modernise critical network industries, improve infrastructure delivery and enhance the competitiveness of the electricity, water and logistics sectors.
Ramaphosa has also underscored the importance of improving governance and performance at major State-owned enterprises, including Eskom, Transnet, Denel and the Passenger Rail Agency of South Africa.
These reforms include introducing stricter appointment standards to ensure leaders of State-owned entities have the required qualifications, experience and expertise.
Government is also moving toward a centralised model for managing its SOE portfolio to improve oversight, strengthen governance and ensure long-term financial sustainability.
This approach is expected to be reinforced through the finalisation of the National State Enterprises Bill, which aims to create a more capable, professional and accountable State machinery better equipped to deliver on its developmental mandate. – SAnews.gov.za
