President Cyril Ramaphosa says South Africa’s economy has been held back from reaching its full potential. Speaking during his address, he reaffirms the government’s commitment to working with businesses, labour unions, and social partners to drive structural reforms for inclusive growth and job creation.
To support black-owned and small businesses, Ramaphosa announces a R20 billion Transformation Fund that will be allocated annually for the next five years.
He also emphasises that women-owned businesses will have greater opportunities to compete for government tenders.
Energy Action Plan
Ramaphosa has commended the Energy Action Plan in dealing with power challenges in the country, saying the plan was effective in reducing the frequency of load shedding.
“The measures we have implemented through the Energy Action Plan have reduced the severity and frequency of load shedding with more than 300 days without load shedding since March 2024. While the return of load shedding for two days last week was a reminder that our energy supply is still constrained, we remain on a very positive trajectory, whether people like it or not.”
The President says over the coming year government will be working on initiating reforms aimed at ensuring economic growth. The reforms will enable State Owned Enterprises to function optimally.
Eskom and Transnet are some of the SOEs which will be targeted. “We are repositioning these entities to provide world-class infrastructure while enabling competition in operations whether in electricity generation, freight, rail or port terminals. We continue with our fundamental reform of state-owned enterprises to ensure that they can effectively fulfil their social and economic mandates.”
Ramaphosa says a new model will be put in place to strengthen government entities to ensure they deliver their mandates.
Our Just Energy Transition is gaining momentum.
Over 13 billion US dollars have been pledged by the international community and significant private capital is being invested locally.
We are determined to meet our carbon reduction commitments, and will do so at a pace and… pic.twitter.com/KPXDthrBVB
— Cyril Ramaphosa 🇿🇦 (@CyrilRamaphosa) February 6, 2025
NHI
Ramaphosa says the National Health Insurance will save many lives with varied packages. He notes that by the end of March 2024, 96% of people living with HIV/AIDS knew their status. He says a large number of them are receiving treatment.
The President however raises concerns over the decision by the United States to suspend foreign aid for 90 days. He says government is looking at various interventions to ensure the continuity of essential services that might be affected by the US decision.
‘Reputable Public Service’
Ramaphosa says he will change how the government works. He has committed to building a capable State with a reputable Public Service, saying South Africa wants a State with people ready to serve.
“The government is engaging private and international funding to develop and maintain infrastructure,” he says.
He explains that through the Infrastructure Fund launched last year, billions of rands will be used to construct a bridge in Lusikisiki that will be the tallest in Africa.
VIDEO | President Cyril Ramaphosa says South Africa needs to completely eradicate the risk of load shedding permanently:
IN PICTURES| Guests on the red carpet.
