The structural reforms being implemented by government to support inclusive economic growth and job creation are beginning to have a measurable impact on the lives of ordinary citizens.
“The reduction in load shedding, which has resulted from reforms in the energy sector, has had a tangible impact on every household and business,” Deputy Minister in the Presidency Nonceba Mhlauli said on Friday in Johannesburg.
She made these remarks during the release of the third quarter Operation Vulindlela Progress Report, which highlighted key reform milestones achieved across priority areas between October and December 2025.
Established in October 2020, Operation Vulindlela is a joint initiative of the Presidency and National Treasury to accelerate the implementation of priority structural reforms that support economic growth, improve service delivery, and strengthen State capability.
“Likewise, reforms in the rail system have supported the recovery of passenger rail services, with the majority of corridors now up and running and providing cheaper public transport for people in every major city,” the Deputy Minister said.
During the 2024/25 financial year, the Passenger Rail Agency of South Africa (PRASA) saw an increase in passenger trips to 77 million, a significant increase from the previous financial year total of 39.4 million.
In October last year, PRASA celebrated the delivery of the 300 locally manufactured train sets for transporting commuters.
Furthermore, 46 stations were revitalised, surpassing the target of 40, bringing the total of recovered and operational stations to 313 out of 468 commuter stations.
Growth in tourism
Mhlauli highlighted that the visa reforms have contributed to job creation and the growth of the tourism sector.
South Africa saw a record 10.48 million tourists arrive between January and December 2025, a 17.6% increase from the previous year.
The latest figures signal a recovery from the COVID-19 impact, which saw the number of tourists falling to 2.8 million and 2.3 million in 2020 and 2021.
“Tourism currently sustains 1.8 million direct and indirect jobs. For every 13 international arrivals, one local job is created. Tourism is a key driver of economic growth, investment and job creation, with spillover effects into many sectors,” the Deputy Minister said.
The Deputy Minister emphasised that the reform momentum has strengthened, while the State is increasingly moving from planning to delivery.
“As the President has said, we are seeing important green shoots in the economy. Four consecutive quarters of positive economic growth, declining unemployment, a strengthening currency, and rising commodity prices are all acting as powerful tailwinds for our economic recovery.
“The reform programme that we are pursuing through Operation Vulindlela is essential to ensure that these positive indicators result in a sustained shift in our economic trajectory, rather than a temporary lift in growth. Ultimately, these reforms – whether in the energy, water and logistics sectors or in the immigration system – are about unlocking much higher rates of fixed investment in the economy and powering long-term growth,” the Deputy Minister said.
In the third quarter of 2025, Statistics South Africa (Stats SA) reported that the unemployment rate fell to 31.9%, down by 1.3 percentage points from the previous quarter.
Meanwhile, the real gross domestic product (GDP) expanded by 0.5% in the third quarter (July – September) of 2025, following an increase of 0.9% in the second quarter of 2025.
“For more than a decade, we have experienced low levels of economic growth and high levels of uncertainty. This year, however, we are turning a corner, largely as a result of our commitment to far-reaching economic reform.
“By strengthening our economic fundamentals and creating an environment for growth, we can protect our economy from global disruptions and take advantage of the opportunities that are emerging alongside them. All of this combines to make a strong case for investment in order to capitalise on South Africa’s growth story,” the Deputy Minister said. - SAnews.gov.za
