Deputy President Shipokosa Paulus Mashatile has today, Friday, 18 July 2025, concluded a successful Working Visit to the People’s Republic of China, aimed at strengthening bilateral relations and economic cooperation between South Africa and China. 

At the invitation of the Chairman of China Council for the Promotion of International Trade (CCPIT), Mr Ren Hongbin, the Deputy President participated in the third China International Supply Chain Expo (CISCE), taking place from 16 - 20 July 2025 in Beijing, China.

CISCE is the world’s first national-level expo dedicated to global supply chains, hosted under the auspices of the Chinese central government and organised by the CCPIT. 

The Deputy President used South Africa’s participation at CISCE as a strategic opportunity to advance the South-Africa China All-Round Strategic Cooperative Partnership in the New Era. This also reinforced South Africa's role as a key gateway to Sub-Saharan Africa for trade, investment and industrial cooperation. 

During the Expo, the Deputy President officially launched the South African National Pavilion. The Pavilion showcased over 30  South African entities from a variety of sectors including Agro-Processing, Electronics, Chemicals, Leather, Footwear and Textiles, Cosmetics, Mining Services, and the creative industries.

The opening of the 2025 South African National Pavilion is a focused response to resolutions made at the FOCAC in Beijing in 2024. This is significant in that it demonstrates how South Africa is an important trade partner to China. 

During the Working Visit, the Deputy President held a bilateral meeting with Vice President Han Zheng of the People’s Republic of China. 

Vice President Zheng expressed confidence in the South African Government and emphasised the importance of strengthening existing cooperation. He further reiterated China’s support for South Africa’s Presidency of the G20. 

The Deputy President expressed appreciation for China’s longstanding partnership and extended an invitation to Vice President Zheng to visit South Africa to co-chair the 9th South Africa-China Bi-National Commission at a mutually agreeable date early in 2026.

Deputy President Mashatile also met with Mr Ren Hongbin, Chairman of the China Council for the Promotion of International Trade (CCPIT), where he emphasised the significance of the Expo in South Africa's efforts to advance the promotion of trade, investment cooperation, the growth of innovation, and the encouragement of learning and interchange.

In an effort to strengthen bilateral economic relations and explore strategic investment opportunities across key sectors, the Deputy President had the opportunity to experience some of the fascinating work being done by companies such as SINOMA international engineering company, the China State Construction Engineering Corporation (CSCEC) and the Beijing Automotive International Corporation (BAIC).

Furthermore, the Deputy President's engagement with the ICBC & Standard Bank and the South-Africa China Business Forum demonstrated the commitment to strengthening Africa-China Relations.

Deputy President Mashatile was accompanied by the Deputy Minister of International Relations and Cooperation, Ms Thandi Moraka; the Minister of Small Business Development, Ms Stella Ndabeni-Abrahams; Minister of Tourism, Ms Patricia de Lille; Minister of Trade, Industry and Competition, Mr Parks Tau; Minister of Water and Sanitation, Ms Pemmy Majodina; and Minister of Agriculture, Mr John Steenhuisen.

 

Media enquiries: Mr Keith Khoza, Acting Spokesperson to the Deputy President, on 066 195 8840.

Issued by: The Presidency
Pretoria

Programme Director, Mr Lester Bouah;
Ministers and Deputy Ministers;
Mr Wang Shaodan, Chairman of the China-Africa Development Fund;
Business leaders;
Distinguished guests;
Ladies and gentleman,

It is a great honour to address you today at the South Africa China Investment Forum in this beautiful city of Beijing. I would like to extend my sincerest gratitude to our hosts for organising this important gathering that aims to strengthen economic ties between our two nations.

Together with delegates from South Africa, we have been here for about a week, and during this time, we were privileged to be able to participate in the third China International Supply Chain Expo (CISCE). This event afforded us an opportunity to showcase the most recent advancements in supply chain management.

We have also come here as part of reflecting on the evolving strategic trajectory of the South Africa–China relationship and reaffirming both countries' commitment to deepening mutual cooperation in support of inclusive economic growth and sustainable development.

As South Africa, we want to continue to build on the economic relations that have seen substantial growth since the establishment of diplomatic ties in 1998.  We value this longstanding relationship because it has been established on a shared vision for a prosperous future.

It goes without saying that this relationship is solid; we are both part of the BRICS economic partnership, along with Brazil, Russia, and India.

Additionally, both our nations participate in various other multilateral institutions, including the United Nations and the G20, where we collaborate on global issues and promote the interests of developing countries.

While the relationship has benefited both nations by increasing trade and investment, there are some drawbacks, such as a continuing trade deficit that favours China.

South Africa's trade imbalance with China is mostly attributable to the nature of our trading relationship. South Africa mainly exports raw materials and minerals while importing manufactured goods and capital goods from China.

To put it in numbers, South Africa’s trade deficit with China has risen from less than USD 1 billion between 1988 and 2000 to USD 9.71 billion by 2023.  Since FOCAC’s inception, this trade imbalance has resulted in an accumulated cash outflow of USD 114.83 billion from South Africa to China.

This calls for urgent actions between our two countries to ensure a mutually beneficial outcome. We need to develop a more coordinated and strategic approach. We need to address challenges such as access to the Chinese market due to factors like tariff and non-tariff barriers, distance, and competition from other countries.

Addressing these challenges necessitates expanding South Africa's export portfolio, encouraging value-added exports, and establishing a more balanced trade relationship. As I indicated at the working dinner yesterday, we need to expand partnerships in various sectors.

It is through strategic trade and investment partnerships with China that we can both create a balance and subsequently play a significant role towards South Africa’s economic growth, job creation, and overall development.

The bilateral economic trade and investment exchanges between the two nations have consistently expanded over the past two decades, with China serving as South Africa's largest trading partner.

We recognise with gratitude that Chinese investment in South Africa has included several businesses and key sectors, including banking, manufacturing, and renewable energy.

There have been a great deal of advantages for South African sectors in China.

South Africa's mineral exports, agricultural commodities, and manufactured items have achieved significant penetration in the Chinese market.

Moreover, there has been a steady flow of investment from Chinese companies since the announcement of President Ramaphosa’s Investment Mobilisation Drive.

This investment forum offers an additional opportunity to strengthen the investment relationship by facilitating exchanges and sector-specific discussions aimed at exploring the many available investment opportunities.

A major significant investment was by the Industrial and Commercial Bank of China (ICBC) which purchased a 20% stake in the assets and earnings of Standard Bank, one of South Africa’s largest banks, for USD 5,5 billion.

Another major Chinese electronics manufacturer, Hi-Sense, entered the South African market in 1997. In 2013, the company established an industrial park.

Other Chinese flagship companies such as Zhong Xing Communications (ZTE) and Huawei Technologies are also expanding their presence in South Africa. Over the last decade, 48 Chinese companies invested in South Africa with a capital investment of over USD 11, 69 billion.

As South Africa-China relations continue to deepen, new opportunities emerge for Chinese businesses seeking to enter the South African market, particularly in sectors such as renewable energy, green hydrogen, energy storage, infrastructure and logistics, our special economic zones, pharmaceuticals and medical devices, and the beneficiation of critical minerals, as well as in the digital economy.

Ladies and gentlemen,

Allow me to outline in detail these opportunities, which I feel are relevant to our areas of interest and where we want trade and investment collaborations with China.

We seek to attract investments to increase Green Field Investments, Infrastructure Investments, Unlock Funding or Financial Support, Partnerships with SOEs, Technology Transfer and Innovation Partnerships, Investments in Special Economic Zones (SEZs) and Industrial Parks, Black Industrialist Partnerships, as well as capacity and technical assistance for SEZs.

Our SEZs offer an internationally competitive value proposition for the country with an attractive suite of incentives. They are located across the country, and each SEZ has unique offerings for investors, some of which could include tax relief, reduced corporate rate taxes and reduced costs for key inputs such as land, water and electricity.

South Africa’s economic recovery, renewal, and expansion momentum is being catalysed by a massive rollout of investment across the energy, water, road, rail, ports, telecommunications, and digital sectors, as well as community and social infrastructure segments.

The strong focus for investments is on transport & logistics, as well as  energy & water to expand capacity and improve efficiencies.

We are also undertaking significant reforms in our rail sector to modernise and revitalise our system for both freight and passenger transport.   

A white paper on national rail policy has been developed and adopted. It outlines a framework for restructuring the rail market, including third-party access and the establishment of the Economic Regulator of Transport.

We have also developed a National Rail Master Plan which outlines South Africa’s long-term vision for the rail network and guides the reform process, including legislation to facilitate private sector involvement.

Key reforms include introducing private sector participation, restructuring Transnet, and establishing an independent rail regulator.

The aim is to create a more competitive and efficient rail network.

Ladies and gentlemen, I must highlight that we have an infrastructure investment plan in place to drive a range of projects in six sectors of our economy: energy, water and sanitation, transport, digital infrastructure, human settlements, and agriculture and agro-processing.

The plan is supported by an Infrastructure Fund, offering investment opportunities in water development and irrigation projects across nine provinces, a road network expansion, a rehabilitation and maintenance program for construction companies, and high-demand spectrum.

Furthermore, we are on a path to revolutionise our energy sector in pursuit of low-carbon, climate resilient development and are actively seeking investment in the energy sector with a particular focus on renewables and green hydrogen. Key reforms include the Electricity Regulation Amendment Act, which paves the way for a more competitive and open electricity market, and the diversification of the energy mix, including increased investment in renewable energy sources.

As we undertake this just and inclusive energy transition, we see many opportunities for growth and job creation in the green economy.  We have introduced policies to promote the development of the electric vehicle industry in South Africa.

We are certain that Chinese companies will find South Africa a unique and advantageous location that can serve as a hub to reach other markets.

Over the past few years, regulatory changes have stimulated substantial new investment in electricity generation capacity, mainly from renewable sources.  We now have a pipeline of over 130 confirmed private sector energy projects that will produce approximately 22 500 MW of electricity.

We are also making significant investments in our electricity transmission infrastructure.

South Africa's reforms in the minerals sector, particularly through the Mineral and Petroleum Resources Development Act of 2002, have been aimed at fundamentally restructuring the industry.

We are currently working on a new Mineral Resources Bill, which aims to address some of the challenges with the current legislation, including streamlining regulations, enhancing investor confidence, and fighting illegal mining activities.

South Africa has also developed a Critical Minerals and Metals Strategy, identifying minerals crucial for economic growth, industrial development, and national security.

South Africa is abundant in renewable energy resources and has significant deposits of minerals needed to drive green growth, and we are well-positioned to be a leader in the green energy and related industries.

We are fortunate to hold the world's largest reserves of platinum group metals, giving us a competitive advantage for the production of sustainable energy technologies, including electric vehicles, new energy vehicles, and renewable energy components.

With the track record of China in developing and implementing innovative renewable energy solutions, together, we can create sustainable and environmentally friendly energy solutions that benefit both our countries.  By working together, we can create value chains that are mutually beneficial, leading to job creation and economic growth.

I therefore encourage Chinese businesses to partner with us in this regard.

We are also developing the value chains and have significant reserves of critical energy transition minerals as we position ourselves to be at the forefront of the green energy revolution.

South Africa presents a great opportunity for Chinese companies to deepen their global value chains. We call on Chinese companies to take advantage of the numerous investment opportunities. With the capabilities that your companies have, we encourage you to play a more active role in our economy for mutual benefit.

Another area of investment is pharmaceuticals and medical devices. South Africa's significant reliance on imported medicines and medical devices, along with robust market growth, presents appealing potential for investors seeking to establish onshore pharmaceutical and medical equipment production.

I would like to conclude by encouraging investors who are interested in expanding to the rest of the African continent to capitalise on the African Continental Free Trade Area, which is anticipated to provide access to the African market for companies in the pharmaceutical and medical device sectors and infrastructure.

The growth of the South African economy supports the African Continental Free Trade Area that opens access to a market of over 1.3 billion people and will drive a new era of industrialisation in South Africa and across the continent.

Ladies and gentlemen, I would like to reiterate that South Africa is a country that offers a wealth of options to explore across several major areas.

Let us collaborate to exploit this immense, uncharted potential across South Africa’s diverse sectors, paving the way for economic prosperity in both our nations and making a meaningful impact on global growth.

I thank you.

As part of Mandela Month, the Deputy Minister in The Presidency, Ms Nonceba Mhlauli, will participate in the #67MinutesOfMentorship programme hosted by The Mentorship Boardroom, a platform committed to nurturing talent and expanding leadership networks across sectors.

The Deputy Minister will mentor Ms Ntandokazi on Friday, 18 July 2025, as part of the Mandela Day commemorations. 

Ntandokazi is a dynamic young economist who holds a Master’s degree in Economics from Fordham University and currently serves as an Analyst at the National Treasury. She is passionate about development economics, impact investing, and public finance.

This mentorship session forms part of government’s broader commitment to youth empowerment, leadership development, and inclusive economic growth. It also highlights the importance of knowledge transfer between experienced leaders and emerging professionals in driving national development.

The engagement will focus on:

- Navigating career pathways in development finance and policy;

- Strengthening leadership and strategic competencies for young professionals;

- Fostering networks that support public-interest finance and investment;

- Encouraging young women in economics and public service to lead with purpose.

Through this initiative, the Deputy Minister reaffirms her commitment to building a generation of capable, ethical, and driven young professionals who can contribute meaningfully to South Africa’s development agenda.

 

Media enquiries: Mandisa Mbele, Head: Office of the Deputy Minister, on mandisam@presidency.gov.za / 0825802213

Issued by: The Office of the Deputy Minister in The Presidency, Ms Nonceba Mhlauli

Pretoria

Speaker of the National Assembly,
Ministers and Deputy Ministers,
Honourable Members, 

The debate on The Presidency Budget Vote has been spirited, at times provocative, but above all, a credit to our democratic order. 

It is just over a year since the people of South Africa peacefully participated in elections that brought all of us to this Parliament to represent them. 

It is through debates such as this one that those who elected us to this House are able to measure whether we are up to the tasks they have given us. 

They can measure whether we represent and articulate their aspirations and assess whether we are undertaking interventions that will improve their lives or not. 

Even as these debates are robust and at times insulting, they are a key marker of the richness and endurance of our democracy.

It has been just over a year since the establishment of the second Government of National Unity in our country’s democratic history.  

The GNU, made up of 10 political parties with different histories and experiences, has continued to hold even as it has weathered many a storm.

There have indeed been disagreements and disputes among the GNU partners.

And yet, despite our differences, as GNU partners, we have chosen to work for the common good.  

It is as a Government of National Unity that we will continue in our mission to drive rapid, inclusive and sustainable economic growth; to create a more just society by tackling poverty and the high cost of living; building state capacity; strengthening law enforcement agencies; and deepening social cohesion and nation-building.

There are those, including in this House, who will assert that democracy does not put food on the table; that the constitution cannot be worn, driven or lived in. 

Yet they lose sight of a fundamental reality; that in the context of democratic backsliding across the world, South Africa stands tall as a country that upholds, protects and advances the rights of its citizens. 

Yesterday, the Honourable Hlophe gave us a laundry list of everything that is wrong with this country. 

We are alive to the many challenges we face. At the same time, we should not lose sight of the fact that this democracy, only 31 years old, has made great progress in improving the quality of life of its citizens.  

Some countries in the world have democracies dating back hundreds, even thousands of years. Our democracy by comparison is still very young.

Those who decry the allegedly scant progress we have made wish us to discount the millions of homes electrified, the clean water in communities where there was once none, the public housing built for the indigent, and the free basic services provided to society’s most vulnerable. 

They wish us to discount the more than 600,000 learners who passed their matric exams last year, the highest recorded pass rate in our country’s democratic history. 

They wish us to not consider the more than 1.2 million young South Africans who are being supported to further their studies by the National Student Financial Aid Scheme. 

They wish us to discount the testimony of young South Africans like the Honourable Lufefe Mkutu who spoke with such eloquence in this House yesterday. 

This Honourable Member told us how he is a direct product of the transformative interventions of this Government when he was at school right throughout his academic life up to qualifying as an industrial engineering university graduate.

The critics of our democratic era wish us to ignore the workers who are now shareholders in the companies they work for, and the African, Indian and coloured men and women who hold positions of leadership in companies thanks to our employment equity laws. 

We are supposed to discount the more than 3.5 million hectares of land that has been restored to communities, and the more than 2.1 million beneficiaries who have been compensated for their land.  

These are some of the fruits of our young democracy, the self-same democracy that the South African people continue to believe in, have faith in, and expect us to advance in both word and deed. 

That the majority of South Africans are committed to the fundamental principles of our Constitution confers a heavy responsibility on the Government of National Unity that we retain this faith. 

It requires that we work as a collective to implement our strategic priorities of inclusive growth and job creation, reducing poverty and the high cost of living, and building a capable, ethical and developmental state.

I can assure the Honourable Mulder that we will not dismiss the proposals put forward by the Freedom Front Plus to ensure that all South Africans progress economically.

We will engage with the Freedom Front’s proposals and we will do so critically. Where we disagree, we will say so.

The Carnegie Report into the ‘poor white problem’ is not a useful guide as we confront the challenges of the democratic South Africa.

The findings and recommendations of the Carnegie Report were influential in the development of apartheid. The commission sought to uplift the conditions of poor whites, but at the expense of blacks. It proposed separating racial groups in labour and living arrangements – of extending labour reservation to protect unskilled whites from competition with black labour.

And despite what the Carnegie Report said about state aid increasing dependency, the actions of the apartheid state were central to the economic empowerment of whites.

Under apartheid laws, blacks were stripped of their land, they were barred from certain occupations, their movement was restricted, they were unable to build up capital to start businesses.

There was a huge disparity between the resources devoted to white schools and universities, white hospitals and clinics. More was spent on social grants, housing, agricultural support and social services for white.

Honourable Mulder, the huge racial disparities we see in access to wealth and opportunities in South Africa were the consequence of the aid provided by the apartheid state to white people.

This is an important discussion and we welcome the Freedom Front’s willingness to engage in it.

But let us not rewrite our history, let us acknowledge the progress that has been made through our economic empowerment policies, let us identify the weaknesses, and let us indeed create a bright future for all our children and grandchildren.

We welcome the Honourable Hadebe’s support for the work of The Presidency in fulfilling its mandate. We agree that this support indeed brings with it the expectation of accountability, because this is a cornerstone of responsive government.  

As was rightly characterised, the Presidency is a centre of strategic coordination. It is not an implementing department.  

The Presidency does not build roads or fix potholes. The Presidency does not deliver clinics or dispense grants.  

The Presidency, and indeed the President, does not try accused persons or put them in orange overalls. 

The role of The Presidency is to ensure that the work of Government departments is coordinated, and that Cabinet decisions and priority programmes are implemented.   

The role of The Presidency is to unlock implementation. 

The role of The Presidency is to ensure there is policy coherence across all the arms of Government, and to give strategic direction to departments as they fulfil their respective mandates.  

Honourable Hadebe, we furthermore agree that South Africans have indeed grown wary of well-crafted plans, policies and strategies, and want to see implementation. 

That is why the Department of Performance, Monitoring and Evaluation is tasked with monitoring the implementation of the Medium Term Development Plan inaugurated under the Seventh Administration. 

We should desist from sweeping statements about accountability lacking in government.  

The DPME produces a range of public reports. 

These include Annual Performance Plans, Performance Monitoring Reports on key sectoral outcomes like health and education, Frontline Service Delivery Monitoring Reports, as well as Citizen-Based Monitoring Reports. 

All of these are subjected to Parliamentary oversight.

These are all regular, easily accessible and detailed. 

They are there for any member of this House, and indeed any South African, to see, interrogate and use to hold their public representatives to account. 

So before we stand here in this House and make generalisations about lack of accountability on the part of Government, let us take the time to read. 

In line with its coordinating role, The Presidency is tasked with mobilising support from all social partners for Government’s Programme of Action.  

As the Seventh Administration and as GNU partners, we have been firm in our commitment to working with social partners in pursuit of inclusive growth and job creation. 

Yesterday, the Honourable Gama delivered a somewhat misguided view of the collaboration between Government and business. 

Achieving inclusive and sustainable growth that creates jobs cannot be done without active cooperation with business and industry. 

Data produced by Statistics South Africa shows that the private sector accounts for more than 73 percent of all employees in our country. 

While Government’s role is, in part, to create an enabling environment for job creation and new businesses to thrive, the private sector is a critical driver of job creation. 

Turning our economy around necessitates that we address and overcome the various obstacles to growth and investment, be they regulatory or structural.  

At the height of the loadshedding crisis, we invited business and other social partners to come on board to support the work of the National Electricity Crisis Committee.  

Through our partnership with business, the private sector committed skills, resources and operational support towards stabilising electricity supply, unlocking investment in clean and renewable energy sources, and laying the ground for an energy-secure future. This has taken place under the strategic leadership of The Presidency. 

Through partnerships we have made noteworthy progress in driving much needed economic reforms; in reducing bottlenecks in the energy and logistics sectors; and in driving job creation initiatives in partnership with the private sector.  

These partnerships are laying the foundation for a more inclusive economy that benefits all South Africans. 

In 2018 we announced the presidential investment drive, with an ambitious goal to attract R1.2 trillion in investment over a five year period. 

Since then The Presidency has lent strategic direction to the convening of five South Africa Investment Conferences, and will hold the sixth later this year. 

Having reached our target ahead of schedule in 2023, we set ourselves a new target of approximately R2 trillion over the next five-year period up to 2028. 

The Investment Envoys in The Presidency have played a formative role in mobilising support for our investment drive.

My Investment Promotion Adviser, Dr Alastair Ruiters, is playing a key role in retaining the momentum of the investment drive, including leveraging participation in multilateral forums.

At the height of the COVID-19 crisis when South Africa chaired the African Union, we also appointed Special Envoys, including Mr Trevor Manuel, to mobilise international economic support for the continental response to the pandemic – with significant successes.

Investment mobilisation is an important area of work for The Presidency. It is aligned to the GNU’s cardinal priority of inclusive growth and job creation and central to our country’s wider economic diplomacy efforts. 

We are building partnerships in other areas.

Last year, the total value of new projects announced by both the public and private sectors amounted to R445 billion, the largest fixed investment in infrastructure in South Africa since 2021. 

Yesterday I reflected on South Africa’s Just Energy Transition Investment Plan that is aimed at mobilising finance from a range of public and private sources to support our transition to a low-carbon, inclusive, climate resilient economy and society. 

This plan is the outcome of extensive consultations with a range of stakeholders including communities, labour, industry experts and business.

Honourable Members, 

The Constitution empowers the President with executive powers to establish commissions of inquiry into any matter of public concern.  

Yesterday, the Honourable Nolutshungu sought to discredit the processes around commissions of inquiry, calling them a waste of money and time. 

But as we have demonstrated, such processes can have a profound impact. Think about the revitalisation of the South African Revenue Service. The ongoing reform of the state security apparatus. The millions of rands recovered and assets seized by our law-enforcement authorities in pursuit of those implicated in the wholesale capture of our state.  

I said yesterday, and I will repeat again today, as a country committed to the rule of law, to procedural fairness and to transparency, we will ensure that the allegations made around corruption in the upper echelons of the South African Police Service will be fully ventilated in the commission of inquiry process. 

We agree with the Honourable Zibi that we cannot squander the enduring belief of South Africans in our democracy, and that this same democracy must deliver accountability, development and opportunity. 

This accountability means that all those who are responsible for imperilling our democracy through nefarious acts should face justice. 

Honourable Members, 

The Presidency, together with the Department of International Relations and Cooperation, plays a central role in advancing our country’s foreign policy and ensuring our nation’s strategic interests are safeguarded. 

Through our participation on multilateral platforms, The Presidency articulates and advocates for the advancement of the African Agenda and the AU’s Agenda 2063, and for a more just, fair world order.  

As the Honourable Lamola said yesterday, South Africa is an advocate for the interests of the Global South in line with our commitment to principled solidarity.  

That is why The Presidency actively participates in international fora on the most pressing issues facing developing economies, such as rising debt burdens, mobilising funding for the attainment of the Sustainable Development Goals, and calling on advanced economies to meet their obligations to support vulnerable countries to raise the ambition of their climate action. 

So we cannot in all honesty argue, as some Members did yesterday, that participation in these important platforms is wastage. Like any other country in the world, a Presidency is the face of a country’s foreign policy. 

The Presidency is on the ground engaging with the South African people and advancing the constitutional imperative of participatory democracy. 

Through the Presidential Izimbizo, for example, we are providing a platform for citizens to engage with their leaders on their most pressing issues and to hold elected officials accountable for service delivery. 

We regard this as a critical tool for taking government to the people and they also fall within the ambit of Budget Vote 1.

The District Development Model that we introduced is more than a way of reorganising local government. It should become an operating philosophy for all spheres for government. When national, provincial and local government cooperate and collaborate to drive development, the overall well-being of citizens is enhanced. 

The District Development Model enhances efficiency by having the three spheres of government aligning planning, budgeting and implementation to reduce fragmentation, duplication and wastage across government departments and entities. 

During the 7th Administration, The Presidency embarked on a series of engagements with provincial executives on their strategic development priorities and the support required from national Government. 

Focusing on the comparative advantages and economic strengths of each province, national and provincial governments will work together to align development priorities and cooperate in the best interests of the people. 

Honourable Members, 

Vote 1 is for a budget that is in a number of respects exceptional. This is not a budget for the implementation of service delivery as is the case with other government departments.  

Rather, this is a budget that will enable coordination, strategic leadership and oversight across all of Government. These are functions that are key to the state functioning effectively.  

As the apex of Government, The Presidency ensures there is alignment, that the national priorities are implemented, and that urgent interventions are implemented in times of crisis: as we have seen during the loadshedding and COVID-19 crises.  

A vote in support of this Budget is about strengthening the nerve centre of Government itself.  

Honourable Petersen, hearing you speak in this House yesterday filled me with immeasurable pride. What confidence, what conviction, at just 23 years old. 

You embody the future of this country. 

You are the voice not just of your community and constituents, but of the millions of young South Africans who even amidst our many challenges see progress, who continue to believe that there is a place in the sun for us all, and who continue to have hope.

Young people who dare to invent the future, as the Honourable Mkutu put it yesterday.

Nobody in this House disagrees that the challenges we face as a country are immense. Nobody can disagree that we are not nearly as far along the road to a shared future as we had hoped to be.  

And yet who do we serve with our malcontents, our laments and defeatism? Do we want to break or do we want to build? 

As we journey to the National Dialogue where we will face the hard truths and forge a common brighter future, let us take courage from the words of this young patriot who said yesterday that this budget should be a turning point. 

Where words become actions. 
Where plans become progress. 
Where South Africa truly becomes a nation that works for all its people.  

I thank you.

Madame Speaker,
His Excellency, President Cyril Ramaphosa,
Deputy President of the Republic, The Honourable Paul Mashatile (in absentia),
Members of the Executive,
Honourable Chief Whip,
Honourable Members of the House,
Distinguished guests.

Mr President, Madame Speaker,

After the 2024 May Election results, the political parties committed to see South Africa move forward, anchored on strengthening our constitutional democracy came together guided the Statement of Intent, to form Government of National Unity. Our constitution, founded on amongst others, the Freedom Charter, adopted 70 years ago. The constitution, in the preamble enjoins us to improve the quality of life of every citizen and free the potential of each person.

We accept that the challenges confronting our country are stark. We are contending with the stubborn legacy of colonialism and apartheid that continues to manifest itself through inequality, youth unemployment and slow economic growth. But we remain resolute.

Through the Presidential Youth Employment Intervention (PYEI), and cross-cutting coordination with social partners, we are shifting the dial and scaling solutions that are showing real impact.

One of the most promising interventions we are leading is Jobs Boost, a groundbreaking outcomes-based employment model. Jobs Boost is a R300 million pay-for-performance initiative currently being piloted. 

This programme which is currently in its pilot phase, seeks to connect 4,500 of the most marginalised young people in our country to sustainable, quality jobs. It is among the largest outcomes funds globally dedicated to youth employment. 

Mr President

What makes Jobs Boost particularly powerful is its laser focus on inclusion and results. The programme targets young people who have matriculated from quintile 1 to 3 schools or received child support grants, and who have no formal post-school qualifications. These are the youth most at risk of long-term exclusion. 

Jobs Boost ensures they are placed in high-quality jobs that are employer-paid, and monitors whether they remain in these jobs. 

To date, twelve implementing partners have begun rolling out the programme. Since September 2024, we have seen:
• 4,136 young people placed in sustainable jobs,
• 1,543 of them have retained these jobs for at least three months,
• 825 have remained employed for six months or longer.

These are not just numbers; they represent young lives being changed. They represent families who now have a steady income. 

The pilot will conclude in December 2025, and early indicators suggest that Jobs Boost will not only meet its targets but also set a new benchmark for how we tackle youth unemployment. We look forward to scaling this model in 2026, in partnership with the private sector and donors.

Linked to this success is the growing impact of SAYouth.mobi, the digital platform that is the heartbeat of the Presidential Youth Employment Intervention. Since its launch in 2020, SA Youth has grown to over 4.7 million registered users. 

Through the platform, young people have accessed more than 1.67 million earning opportunities. These include jobs supported by the Presidential Employment Stimulus, the Youth Employment Service, and the National Youth Service.

This platform is not only large in scale but also deeply equitable. Over 70% of the opportunities accessed have gone to young black African women. More than 73% of users come from quintile 1 to 3 schools, and 65% live in households where at least one member receives a social grant. 

These statistics show that SA Youth is reaching the very people who need it most.

Speaker,

This is what inclusive development looks like. When we design systems intentionally to serve the poor and unemployed, we bend the trajectory of this country towards justice and shared prosperity.

These achievements are not accidental. They are the result of strong coordination led by the Presidency, and the tireless work of departments and delivery partners across the state. 

As we move forward, we invite all sectors of society to be part of the solution. The Jobs Boost model demonstrates the power of partnership. Equally so, the SA Youth platform thrives because of cooperation between government, business, and civil society. 

Honourable Members, we are laying the foundation for a new economy. One that works for all, especially the youth. One that sees potential in our people, not just risk. One that rewards innovation, not exclusion.

Madame Speaker,

I also wish to highlight the responsibilities of Deputy President Paul Mashatile who is on official assignment abroad, whose work continues to strengthen the Presidency’s leadership across critical social and economic programmes.

The Office of the Deputy President leads our national response to HIV, TB and STIs through his stewardship of the South African National AIDS Council. Under his leadership, the country is intensifying efforts to reach the 95-95-95 targets, while also strengthening partnerships with civil society and the private sector to reduce vulnerability and address the social drivers of disease. 

This includes prioritising gender-based violence and femicide, and aligning our work with global efforts to end AIDS in children by 2030. At the World TB Day commemoration in Mpumalanga earlier this year, the Deputy President reminded us that ending TB is not just a health imperative but a matter of dignity and justice. He reaffirmed our commitment to invest in early diagnosis, community-led monitoring and strengthening the health systems that support vulnerable people. His call to action is clear. We must ensure that no one is left behind in our fight to end preventable illness and suffering. 

Madame Speaker,

The Presidency is also leading the Human Resource Development Council, advancing the implementation of South Africa’s Human Resource Development Strategy Towards 2030. The Council has committed to deepening coordination across sectors to solve the structural skills mismatch in our economy.

The National Skills Advisory Forum was launched, which will serve as a strategic platform for all stakeholders to jointly diagnose, prioritise and respond to South Africa’s skills challenges. 

This initiative reflects a shift toward a more agile, data-driven and responsive human development ecosystem that aligns with our growth sectors and transformation objectives. This forum is about more than training people for jobs, it is about building the competencies and capabilities of an empowered nation.

The Presidency emphasises on building capacity for the Just Energy Transition is especially critical. Through the Just Energy Skills Forum, we are ensuring that South Africa’s energy future is not just clean but also inclusive. 

Workers and communities affected by the transition will not be left behind. Instead, they will be equipped to lead it. The HRDC’s work is laying the foundation for industrialisation pathways that are both green and just. 

The upcoming Fifth HRDC Summit, which will assess progress and chart the next phase, is a moment to galvanise action across the skills landscape. The HRDC is not an observer it is an enabler of change. This work is essential for preparing our workforce for the demands of a 21st century economy, and is being done in collaboration with the Department of Higher Education and partners across labour, business, academia and communities.

Lastly, fellow Members,

I would like to remind some amongst us in the GNU, that what binds us, is the statement of intent, whose foundation is the respect of our constitution and constitutional democracy. I would like to warn the DA, that being in the GNU does not give a license to alter the constitution or pick and choose constitutional provisions that we like and throw others of the window because we don’t like them. 
 

Honourable House Chairperson,
President of the Republic of South Africa, President Matamela Ramaphosa,
Honourable Members Deputy Minister in The Presidency, Honourable Nonceba Mhlauli,
Deputy Minister in The Presidency, Honourable Kenny Morolong,
The Director-General in The Presidency, Ms Phindile Baleni,
Chief Operations Officer, Mr Rory Gallocher,

National Dialogue and Social Cohesion

Honourable Chairperson,

As the President has indicated, the national dialogue is one of the most important pillars of any thriving democracy. It is a bridge that connects 1 government to citizens, leaders to communities, and one generation to the next. In moments of uncertainty, it provides clarity. And in seasons of transformation, it offers us direction and shared purpose. From South Africa’s own journey out of apartheid, where dialogue laid the foundation for reconciliation and democracy, the lesson is clear: when people talk— honestly, openly, and respectfully—nations change.

Contrary to attempts to mislead South Africans, the National Dialogue is not an event. It is a process that will commence on August 15 and take place for a period of no less than 12 months. The national dialogue must be a culture. A culture where disagreement is not a threat, but a sign of a healthy democracy. A culture where every voice matters —whether from the hills of the rural provinces or the corridors of our cities. A culture where the youth are not just heard but involved, and where the marginalised are not only included but empowered.

To achieve these goals, the National Dialogue Preparatory Task Team and IMC have proposed an inclusive process that will be immersed in deep citizen engagements that prioritise the voice of those who feel marginalized. We have identified 30 sectors of our society around which to mobilise, with an emphasis on the diversity and inclusion of the often-marginalised sections of our society.

In its entirety the National Dialogue will involve the following layers of conversation:

1. The First National Convention on 15 August 2025 – 1000 delegates. This is an agenda setting convention which will prepare the nation for the community engagements.

2. Community Dialogues – 13400 ward-based community dialogues.

3. The Online platform is aiming to reach no less that 2,5 million citizens.

4. There will also be smaller citizen-hosted events in churches and community groups that shall have access to the toolkit being designed so that the outcomes feed into the process.

5. Sectoral Dialogues – self organised in specific social or economic sectors which shall also have access to the toolkit so that their outcomes feed into the process.

6. The 2nd National Convention will be the concluding event that converts the engagements into a National Compact and 30 Year Plan of Action. We estimate that this will be about another 1000 delegates.

7. A detailed implementation plan.

8. A national roadshow to socialise the outcomes of the National Dialogue and engage with implementation partners.

9. Independent, citizen-led Monitoring and Evaluation will remain in place.

The majority of the work of conceptualising and planning for the National Dialogue process has been undertaken by ordinary citizens from various walks of life who have volunteered their time, skills and resources to this national effort over the past 12 months.

After a week of opening up the online platforms as many as 737 organisations have registered their wish to participate in various elements of the National Dialogue. This is an average of 100 per day to show that many South Africans are eagerly awaiting this process.

The national dialogue will also promote government social cohesion efforts and strengthen social compacting as led by the Deputy President. The Deputy President led social cohesion efforts have prioritised a focus on gender-based violence and femicide, teenage pregnancy, racism, sexism and patriarchy, as well as the role of families in building communities.

At the core of building communities, the Deputy President is also assigned the responsibility to coordinate efforts to improve service delivery by supporting the President in the roll-out of the District that Development Model (DDM), lead the IMC on Service Delivery, the Water Task Team, and oversee the coordination of government’s Public Employment Programmes.

Madame Speaker,

In the Seventh Administration of Government, President Ramaphosa delegated Deputy President Paul Mashatile with the responsibility of the Leader of Government Business in Parliament, in line with Section 91 (4) of the Constitution of the Republic of South Africa.

This responsibility entails driving the Legislative Programme of Government while ensuring Executive Accountability to Parliament, building relations between the Executive and Leaders of Opposition Parties, and enhancing the electorate’s public participation in policy and law-making processes.

In the current Administration of Government, this responsibility has been coupled with the Deputy President’s role of facilitating the Clearing House Mechanism of the Government of National Unity (GNU), as per the decision of the Cabinet meeting of 18 September 2024.

In navigating and facilitating the success of the current political configuration, the Clearing House Mechanism must serve as a working committee of the Political Leaders Forum. The Clearing House ensures that contentious policy considerations are deliberated without hindering or delaying the focus of the Administration. This Mechanism is a resource through which parties in the GNU pursue political coordination to build consensus on contentious policy matters. This makes the ultimatums to the President and playing to the gallery so unnecessary by a party that is a signatory to the Statement of Intent.

Achieving national development objectives through government efficiency

Madame Speaker,

The Presidency is tasked with leading the nation to towards the fulfilment of the aspirations of our National Development Plan: Vision 2030, by 2030. This is no small task, and it is one that requires all hands, brains and, yes, political orientations, on deck.

The Presidency remains focused on achieving our national objectives and continue to ensure that our people, particularly the historically disadvantaged, women, youth and persons with disabilities are mainstreamed in our economy and government services reach all South Africans.

We are diligently focused in doing this.

Since 2020, The Presidency has been coordinating the acceleration of government efficiency by working with departments, entities and social partners. As mentioned by the President, Operation Vulindlela continues to drive structural reforms to drive inclusive economic development that creates jobs.  

In its Phase 2 of implementation, the 2025/26 first quarter Operation Vulindlela report released on Monday 14th July demonstrates sustained progress in the economic reform agenda, which serves as a counter to strong economic headwinds.

Key milestones during the past quarter include the publication of a Ministerial Determination and associated regulations to enable the first round of Independent Transmission Projects, as well as a Request for Information for major private sector participation (PSP) projects in the freight logistics sector.

The Network Statement and rail access tariffs in Dec 2024, have resulted in 98 applications from private freight operators and this is currently under review with slots sales to be allocated soon. And the clearing of a backlog of 306 000 visa applications at the Department of Home Affairs.

Progress has also been made in the new areas of reform included in Phase II, with a comprehensive review of the White Paper on Local Government to reform the local government system and the introduction of a performance-based financing mechanism to support the reform of municipal water and electricity services.

Presidential Working Groups on eThekwini and City of Johannesburg

The President referred to the progress made in eThekwini through the work of the Presidential eThekwini Working Group (PeWG). Just to give further details on the achievements registered under the PeWG are:

• The finalisation of water supply agreements for the Upper Mkhomazi Water Project which will provide 200 million cubic meters per annum by 2032. In the short to medium term, there has been a focus on reducing non-revenue water including the refurbishment and rehabilitation of key aqueducts, pipelines, and pump stations.

• The unlocking of additional funding to support the water and sanitation turnaround plan, including a R189.5 million BFI grant to improve non-revenue water reduction in the North of eThekwini announced in the MTBPS.

• Ten of the largest wastewater treatment works in eThekwini are now run by uMngeni-uThukela Water (UUW), resulting in an improvement in effluence compliance.

• Several transport infrastructure projects are making progress including the repair of the Umlaas Canal (damaged during the 2022 floods) which is now 60% complete. Other transportation infrastructure projects include the completion of rehabilitation of key road arterials including the M37.

This work of the PeWG has contributed to the progress in improving service delivery in eThekwini and positioning it as an investment hub. We are confident that we will achieve same progress with the Presidential Johannesburg Working Group.

Clean Cities, Towns and Villages Campaign

To support the President’s initiatives to revitalise our cities, the Deputy President in August 2024 announced the Clean Cities, Towns and Villages Campaign to revitalise cities, towns and villages, and improve service delivery by keeping our environment and surroundings clean.

Madame Deputy Speaker,

A strong Presidency must be institutionally supported. It requires a capable state — one with professional public servants, strong institutions, and systems of integrity. When the Presidency is strong, it unlocks the potential of the entire government machinery. A strong government machinery accelerates delivery of services to the people of South Africans.

We are humbled to table a total allocated budget of The Presidency for 2025/26 financial year of R 747.2 million.

I say we are humbled, because we know these funds come from the nation. It comes from businesses and individuals who play their part in our country’s development by paying taxes and levies that constitute the public purse.

These monies are hard-earned. And the SARS Commissioner will tell you some of these monies are hard-collected, and we thank SARS for this.

We therefore pledge that we will work judiciously with these funds to ensure they are spent in the ways we have committed and to ensure that they deliver the positive impacts on our society and our economy that are foremost in our minds and professional conduct.

The allocation has been distributed per programme as below:

• Administration: R 657.5 million
• Executive Support: R 55.7 million
• Policy and Research Services: R25.8 million

Conclusion

Madame Deputy Speaker,

A strong Presidency does not mean autocracy. It means accountable, visionary, ethical, and decisive leadership that is empowered to act in the interests of the people. A strong Presidency leads with legitimacy, guided by the Constitution.

I would have thought a person holding a PhD in law would understand this basic fact, but he is the same person who was declared not fit to be a judge or judge President by the Judicial Service Commission, a fact even confirmed by the Courts.

Madame Speaker,

I want to thank our President for leading us in difficult times and putting the needs and hopes of South Africans first, while contributing to the reconfiguration of global institutions and governance. 

I would like to remind Honourable Hlophe that since 2018, President Ramaphosa has been seized with rebuilding the broken Eskom, Transnet, SAA, Denel and many other entities broken during the 4th and 5th Administration under the erstwhile President Jacob Zuma – the lifelong President of MKP.

Lest we forget, it was President Ramaphosa who during the Covid-19 pandemic that ensured that not only South Africans had access to vaccines but the rest of the African continent, thus saving many lives when the West intended to hoard the vaccines for their citizens.

It was this very President who rose to mobilise the much-needed lifesaving vaccines, thus preventing a worse loss of life in South Africa and the rest of the continent, even when we continue to remember those who lost their lives during the pandemic.

Furthermore, it was President Ramaphosa who mobilised the rebuilding of South Africa’s economy that was ravaged by the effects of the Covid19 pandemic. It was under the leadership of President Ramaphosa that the country developed and implemented the Economic Recovery and Reconstruction Programme to recover the economy.

It is important for South Africans to remember that the responsibility to build our country lies with all of us. We don't have to criticise for criticism sake but with an objective to build our country. This requires all of us to be critical, hold government accountable but contribute to the development of our country.

I want to thank this Parliament for keeping us accountable. It is not always pretty, but it is always necessary, and it helps the Administration sharpen its outlook and its praxis.

I thank the leadership and staff of The Presidency, headed by Director-General, Phindile Baleni and Chief Operations Officer, Rory Gallocher, for dedicating themselves to ensuring that The Presidency plays its rightful role in A Nation That Works For All.

Thank you, Ndo livhuwa, iNkomu!

Following the inaugural meeting of the National Dialogue Eminent Persons Group at the Union Buildings on Friday, 11 July 2025, President Cyril Ramaphosa has designated the following persons to lead and coordinate the group:
 
Co-Chairs:

- Prof Tinyiko Maluleke
- Mr Roelf Meyer
 
Deputy Chairs:

- Ms Lindiwe Mazibuko
- Mr Siyabulela Xuza
 
Secretary:

- Ms Nompendulo Mkhatshwa
 
President Ramaphosa said: “I am grateful to each of them for agreeing to take on this responsibility and to contribute towards the effective functioning of the Eminent Persons Group.”
 
The President established the Eminent Persons Group (EPG) to guide and champion the National Dialogue.
 
The EPG consists of prominent individuals in society with a proven commitment to the advancement of social cohesion and nation-building. The Eminent Persons are drawn from across the country and from many fields of endeavour in our public life.
 
The EPG is supported by the National Dialogue Preparatory Task, which is made up of representatives of a number of foundations, civil society organisations and The Presidency. 

The Preparatory Task Team is responsible for the practical arrangements of the National Dialogue until a representative Steering Committee has been established.

 

Media enquiries: Vincent Magwenya, Spokesperson to the President - media@presidency.gov.za

Issued by: The Presidency
Pretoria

Programme Director;
Mr Liu Jun, President of ICBC Bank;
Ministers and Deputy Ministers;
Esteemed representatives of Standard Bank, Sinosteel, China Communication Construction Company and Chery;

Ladies and gentlemen,

"Coming together is a beginning, staying together is progress, and working together is success," is a renowned quote that has always served as a source of motivation for me.

The phrase highlights the fact that merely getting people together is a good place to begin; nevertheless, it is essential to keep unity and actively collaborate with one another to advance in a meaningful way and finally achieve success.

This gathering signifies the importance of fostering strong partnerships between South Africa and China in strategic sectors for investment and trade promotion. While we are looking forward to the opportunities that lie ahead for us, it is clearly evident that the partnership between our two countries offers a significant potential for the progress and prosperity of both of our countries.

With the diversified resources of South Africa and the economic strength of China, there is a great deal that we are capable of accomplishing together. We must augment our collaboration, especially in critical industries poised for investment and trade.

Currently, South Africa and China have strong economic cooperation, with bilateral commerce amounting to $34 billion in 2024 and Chinese foreign direct investment in South Africa being $13.21 billion. This partnership is characterised by a growing trade relationship, with China being South Africa's largest trading partner for 16 consecutive years.

A notable aspect of the trade relationship is the trade imbalance, where South Africa exports primarily raw materials to China and imports manufactured goods, creating a trade deficit for South Africa. South Africa needs to benefit more from its active, albeit highly unequal, trading partnership with China.

Therefore this dinner presents a strategic opportunity for us to: 

· Leverage ICBC’s financial expertise and Standard Advisory’s market insights to deepen investment in SA’s priority sectors. 

· Address trade imbalances by promoting value-added exports and technology transfer. 

· Advance partnerships in renewable energy, critical minerals, infrastructure, and manufacturing under the Forum on China-Africa Cooperation (FOCAC) framework.
 
Through the process of recognising and capitalising on these key sectors, we are able to create an environment in which both of our economies benefit and in which we make progress towards our common objectives.

I am certain that the many areas of expertise and knowledge that have been collected around these tables will make it possible for us to devise specific plans and strategies that can be put into action, which will propel our partnership ahead.

Let me also highlight some opportunities in green industrialisation, infrastructure financing, and export diversification. 

In particular, South Africa has substantial prospects in the areas of green industrialisation, financing infrastructure, and export diversification. This is especially true when considering the worldwide move towards a low-carbon economy.

In addition to a rapidly expanding renewable energy industry, the country's plentiful natural resources, which include minerals that are essential for the development of environmentally friendly technology, provide a solid basis for the expansion of green industrialisation.

Strategic investments in infrastructure, particularly in water and sanitation, and a focus on export diversification can further drive sustainable economic development and job creation.

In a nutshell, let us collaborate in the strategic sector for the purpose of promoting investment and trade in areas such as the following:

· Battery Manufacturing & Critical Minerals: SA seeks Chinese investment in battery value chains (mining → processing → cell manufacturing) to supply global EV markets. 

· Renewable Energy and Green Hydrogen: SA’s Hydrogen Valley ($5.96B) and 24 renewable energy projects ($9.35B) need Chinese EPC and financing. 

· Infrastructure and Rail Modernisation: SA’s rail revitalisation (high-speed Gautrain extension, rural corridors) requires Chinese expertise and capital. 

· Metallurgy and Smelter Revitalisation:  South Africa presents significant investment opportunities in metallurgy and smelter revitalisation, driven by its rich mineral resources and the global shift towards a low-carbon economy.

South Africa and China are at a pivotal moment to redefine our economic partnership—from raw material trade to co-industrialisation. Together, we can pave the way for a brighter future that brings prosperity to our people and strengthens the bonds between our nations.

We invite ICBC and Standard Advisory to:

· Finance catalytic projects in batteries, green hydrogen, and rail under FOCAC’s Partnership Action Plans. 

· Bridge trade gaps by supporting SA’s Top 100 Export Initiative and SME integration into Chinese supply chains. 

· Co-invest in infrastructure through blended finance, ensuring mutual gains under Africa Free Trade Agreement. 

Let us turn commitments into concrete projects that create jobs, transfer technology, and position SA as China’s gateway to Africa.

There is potential for South Africa and China to work together to foster innovation, the transfer of technology, and the development of skills. There is the potential for us to form partnerships that are beneficial to both parties if we capitalise on our individual skills and explore new ways of working together.

Through partnership and working together for a common purpose, we can realise the full potential of both our countries.

Thank you.

Speaker of the National Assembly,
Ministers and Deputy Ministers,
Honourable Members,
Fellow South Africans,
 
In two days from now, on Friday, 18 July, South Africans will join people across the world in celebrating Nelson Mandela Day.
 
Madiba helped us see that we can achieve progress by staying true to the vision of a better, more equal society and by working together to make that vision a reality.
 
Today, the world faces real and significant challenges. So do we as a country.
 
We face an increasingly volatile world, with disruptions to global trade and deepening conflicts causing reverberations across the globe.
 
We face high levels of unemployment and economic growth that is too low to create jobs and reduce poverty.
 
We face the corrosive effects of corruption and pervasive crime, to which the poorest are most vulnerable.
 
We face the daunting task of building a state that is capable of tackling these challenges and restoring the trust of the people.
 
It is with these challenges in mind that we formed a Government of National Unity to place our country on a path of growth and transformation, a path of peace and prosperity.
 
As we established the GNU, we understood that we were embarking on a new era in the life of our democracy. We understood that there would be complex dynamics and novel challenges that we would need to navigate.
 
We have together adopted the Medium Term Development Plan, which outlines clear actions that we will undertake over the next five years in pursuit of three strategic priorities:
 
- Firstly, driving inclusive growth and job creation.
- Secondly, tackling poverty and the high cost of living.
- Thirdly, building a capable, ethical and developmental state.
 
Across all ministries, all departments and all national entities, there is a commitment to implement the actions on which we have agreed and to move with urgency and purpose to address the needs of South Africans.
 
Most importantly, there is a shared understanding that we need to rise above our differences and to work together to make progress on our most important challenges.
 
The approach of the Government of National Unity is to enhance national cohesion and nation building and to build partnerships across society to advance the common interests of all South Africans.
 
The National Dialogue is being convened in response to calls from individuals and formations from across society. This initiative has received wide support and has been endorsed by the GNU as a significant national process to develop a social compact that will enable us to meet the aspirations of the National Development Plan.
 
At every important moment in the history of our country, we have come together to define a shared vision and forge a path into the future in dialogue with one another.
 
The National Dialogue is not just about talking.
 
Like CODESA, like the National Peace Accord, like the consultation process that led to our new Constitution, the National Dialogue is expected to produce real results that have a tangible impact on people’s lives.
 
We are all called upon to use this National Dialogue as an instrument of development, transformation, progress, national cohesion and nation building.
 
The National Dialogue does not displace the democratic processes mandated by our Constitution, nor the electoral mandates that parties carry into Parliament and the Executive.
 
As the National dialogue process continues, the Government of National Unity will continue to take action to address the immediate concerns that all South Africans share – to grow our economy, to create jobs, to tackle corruption and crime, and to fix local government.
 
The Medium Term Development Plan sets specific measurable targets for each of our programmes, and these budget votes quantify the resources that we will need to reach these targets. However, the true measure of success is the impact that we have on people’s lives.
 
Everything that this government does – from trade negotiations to economic reforms, from the professionalisation of the Public Service to support for farmers and small businesses – is directed towards meeting the needs of South Africa’s people and securing their future.
 
The role of The Presidency is to coordinate the work of Government towards this end, and to make sure that our commitments are translated into action.
 
Our most important priority is to grow the economy and create jobs. 
 
We are working across government to boost infrastructure investment to ensure that infrastructure development becomes the true flywheel of economic growth.
 
We are using the Infrastructure Fund to invest in the roads that link communities to economic centres and the water projects that supply expanding cities and towns.
 
We have amended the regulations for Public Private Partnerships to make it easier for the private sector to invest in infrastructure ranging from renewable energy generation to housing.
 
This infrastructure has a direct impact on people’s lives, providing the services they need, reducing the cost of living, improving the business environment and encouraging economic activity.
 
We are following through on our commitment to invest more than R1 trillion in infrastructure over the next three years to renew our country’s roads, port, rail, energy and water systems.
 
South Africans benefit when the economy grows, when jobs are created, when established industries expand and new industries emerge.
 
To ensure that our industrial policy promotes local economic activity, we are repositioning it to look at opportunities in diversification, decarbonisation and digitalisation.
 
That is why we are redirecting our development finance institutions to be active investors in emerging industries and introducing tax incentives for new energy vehicles from next year.
 
We are pursuing the Critical Minerals and Metals Strategy recently approved by Cabinet to ensure that the country’s mineral wealth creates jobs and produces value here in South Africa.
 
Our National Policy on the Commercialisation of Hemp and Cannabis aims to improve the livelihoods of people living in rural areas, targeting 10 percent annual growth in this emerging industry.
 
Communities in our cities and rural areas alike will benefit from rapid growth in tourism.
 
More than 9 million international tourists visited our country in the past year, directly spending over R90 billion.
 
This is thanks in large part to reforms in our visa system, targeted tourism promotion in key markets and support to local companies.
 
To encourage the growth of micro, small, and medium enterprises, we are continuing the work to remove regulatory constraints and simplify business licensing.
 
We are refining our financing offerings to these businesses, recognising that different types of businesses have different needs at different stages of their development.
 
To accelerate economic growth and create jobs, we are moving ahead with the economic reform agenda through Operation Vulindlela, with The Presidency providing strong leadership and coordination to ensure that reforms are implemented.
 
In the energy sector, working together with all stakeholders, we have made outstanding progress in reducing the severity and frequency of load shedding.
 
There was a time when daily load shedding was the norm. Now, it is very much the exception.
 
We are putting in place the foundations for a competitive electricity market to unlock massive new investment in energy generation.
 
This will result in lower electricity costs for all South Africans and more renewable energy to power our economy.
 
We have also made significant progress towards enabling innovative public and private investment in our transmission network.
 
Implementation of the just energy transition continues to progress, coordinated by a dedicated JET Project Management Unit in The Presidency. 
 
There is a growing pipeline of just energy transition projects in municipalities, skills development, electricity transmission and renewable energy generation. 
 
Total international pledges to support South Africa’s just energy transition now amount to $12.8 billion, or around R230 billion. 
 
This investment will go directly into renewable energy projects where the communities affected by the transition to clean energy sources will be at the centre of our focus.
 
Through this work, South Africa is leading the world in showing what a truly just energy transition looks like – one that enhances our energy security, protects workers and leaves communities better off.
 
We are also following through on our reform commitments in the logistics sector.
 
We have continued to make progress in reforming our visa system to attract skills and grow tourism.
 
An Electronic Travel Authorisation system will be launched later this year.
 
The Department of Home Affairs has made great progress in clearing the visa application backlog, which stood at over 306,000 applications in March 2024.
 
Through these reforms, we are steadily removing the obstacles to growth and paving the way for a new phase of investment and job creation.
 
The work of Operation Vulindlela shows the importance of a capable Presidency at the centre of Government, fulfilling a coordinating role in working closely with the departments and agencies responsible for implementation, and building a culture of delivery across the state.
 
The greatest challenge that faces our country today is youth unemployment.
 
Approximately 3.8 million out of 10.3 million young people aged 15 to 24 years are not in employment, education or training.
 
These are young people with energy, initiative and untapped potential.
 
As we pursue faster and more inclusive economic growth, as government we have undertaken programmes on a large scale to provide opportunities for young people to earn an income, develop skills and gain work experience.
 
Through innovative and targeted interventions, the Presidential Employment Stimulus has continued to demonstrate that when a society invests in its people, the dividends are measured in hope restored and futures rewritten. 
 
In June this year, we began a new phase of the Basic Education Employment Initiative, with over 200,000 young people working as school assistants in over 20,000 schools.
 
This initiative has now created over 1 million posts for young people to serve as assistants in schools, supporting teachers in classrooms, school administration and school maintenance.
 
The programme has been designed to strengthen the learning environment and learning outcomes in schools. 
 
In the process, participants gain work experience and skills vital to finding employment and starting their own businesses.
 
Young people face many barriers. Without established networks in the economy, without work experience, without money for data or transport, it is difficult for many young people even to look for work.
 
To address these challenges, we launched the SAYouth.mobi platform in 2020.
 
Since then, it has linked a growing number of young people to learning and earning opportunities. 
 
There are now over 4.7 million young people registered on the SAYouth network. 
 
Young people have been supported to access over 1.67 million earning opportunities. 
 
A significant achievement of SA Youth is that the vast majority of earning opportunities have been accessed by the most excluded young people. 
 
Seventy percent of opportunities have been accessed by young black African women. 
 
Around 65 percent of the young people registered on the SA Youth platform reported that they live in households where at least one member receives a grant.
 
This means that we are reaching some of the people who have the greatest need.
 
With the support of Government, the Youth Employment Service – known as YES – has become the largest corporate funded youth jobs programme in the world. 
 
The programme has to date provided over 190,000 young people with a year-long work experience opportunity. 
 
Through all of these programmes coordinated by The Presidency, we are changing the way that Government works and scaling innovative solutions to our unemployment challenge.
 
Honourable Members,
 
Education is at the centre of our fight against poverty. 
 
The foundational years are central to a child’s progress throughout their educational journey and even later in life. That is why our focus is on expanding access to quality early childhood development and early-grade literacy and numeracy.
 
We continue our efforts to ensure that learners have a safe and conducive environment in which to learn. To date, we have completed 97 percent of the sanitation projects under the SAFE initiative aimed at getting rid of pit latrines in our schools.
 
The Department of Basic Education is undertaking the work needed to implement the Basic Education Laws Amendment Act – or BELA – to ensure that all children have access to quality education and well-run schools.
 
We continue efforts to expand and strengthen vocational training, to match the skills we develop with the needs of our economy.
 
Through NSFAS, we are expanding access for students from poor and working class families, and with the support of the National Skills Fund, we are expanding assistance to the ‘missing middle’.
 
This year, NSFAS is supporting over 800,000 university and TVET college students. This provides opportunities to young people today that will, in time, transform our economy and society. 
 
In order for us to give access for all people to quality health care, we have determined that we will address the poor state our hospitals and clinics. We are investing in the construction, revitalisation and maintenance of facilities across the country.
 
To address the severe challenges in the health system and in preparation for the implementation of the NHI, we are directing resources towards the hiring of more doctors, nurses and health professionals, the permanent employment of community health workers, and the purchase of new equipment and supplies.
 
 We are determined to meet our HIV testing and treatment targets, despite the withdrawal of US funding. The Minister of Health has reported on the progress made, working with stakeholders, to mobilise resources to fill some of the gaps in our response and research work.
 
The South African National AIDS Council, led by the Deputy President, remains at the centre of our HIV/AIDS response, mobilising all sectors and stakeholders to ensure that we end AIDS as a public health threat.
 
For us to effectively tackle any of these challenges, we need to build a capable state with institutions that are resistant to corruption or interference.
 
The recent adoption of the Public Service Commission Bill by the National Assembly marks a crucial milestone, enhancing the independence and effectiveness of the Public Service Commission in promoting ethical governance. 
 
The Bill will allow the Commission to function as an impartial constitutional body and ensure that the executive is compelled to act on the Commission's recommendations, thereby reinforcing accountability across the public sector.
 
To make Government work more efficiently and bring it closer to the people, the Digital Transformation Roadmap was launched in April 2025.
 
The roadmap focuses on building digital public infrastructure including a digital identity for every South African citizen.
 
It includes a digital payments system to enable instant, low-cost payments, and interoperable data systems to ensure that citizens only have to provide their information to Government once. 
 
The integrity and credibility of the criminal justice system is vital to our ongoing efforts to combat crime and corruption. Over the last few years, we have made significant progress in rebuilding and strengthening law enforcement agencies, security services and prosecutorial bodies.
 
These changes have been real and visible in the South African Police Service, the Hawks, National Prosecuting Authority, Asset Forfeiture Unit, Special Investigating Unit, State Security Agency and others.
 
We are determined to maintain this momentum. We must therefore be concerned when reports emerge and allegations are made that threaten to undermine the stability and effectiveness of these institutions.
 
I have recently established two commissions of inquiry that, in different ways, will interrogate aspects of our criminal justice system.
 
The first, chaired by Judge Sisi Khampepe, looks to the past. The commission will investigate allegations of undue interference in the investigation and prosecution of apartheid-era crimes.
 
Not only is the commission necessary to ensure justice for the victims of apartheid-era crimes and their families, but it will provide valuable lessons as we strengthen our efforts to ensure accountability now and into the future.
 
The second commission, which I announced on Sunday and which will be chaired by Acting Deputy Chief Justice Mbuyiseli Madlanga, will investigate allegations made by the SAPS Provincial Commissioner in KwaZulu-Natal, Lt Gen Nhlanhla Mkhwanazi.
 
Lt Gen Mkhwanazi alleged that the Minister of Police had interfered with sensitive police investigations and colluded with business people, including a murder accused, to disband the Political Killings Task Team based in KwaZulu-Natal.
 
These allegations are serious. They are also untested.
 
It is therefore necessary that we establish the facts through an independent, credible and thorough process so that we can ensure accountability and safeguard public confidence in the police service.
 
It is therefore strange that some people have voiced strong opposition to the establishment of this commission of inquiry.
 
Some have said that I should take immediate punitive steps against the Minister on the basis of untested allegations. Not only would this be unfair, but it would create a dangerous precedent.
 
The commission should be allowed to do its work.
 
Some people have resurrected the tired line that the commissions and panels that we have established have not produced any meaningful results.
 
This view is wrong. It is not borne out by evidence.
 
In 2018, we established a Commission on the South African Revenue Service, chaired by Judge Robert Nugent. The commission’s findings and recommendations resulted in a comprehensive overhaul of SARS’ leadership, governance structures and operational capacity. 
 
This has enabled SARS to significantly increase revenue collection, improve compliance and recover substantial sums of unpaid tax.
 
The Commission of Inquiry into the Public Investment Corporation, chaired by Judge Lex Mpati, exposed serious governance failures and led to far reaching institutional reforms.
 
These commissions resulted in disciplinary actions and the cancellation of unlawful contracts.
 
The implementation of the recommendations of the High-Level Panel on the State Security Agency have contributed significantly to SSA’s stabilisation and recovery, improved oversight and accountability, and the structural reforms contained in the General Intelligence Laws Amendment Act.
 
Following the recommendations of the Expert Panel into the 2021 Civil Unrest, government has taken steps to ensure better intelligence coordination, capacitating public order policing, strengthening community policing forums and streamlining the functioning of the National Security Council.
 
In the three years since the final report of the State Capture Commission was presented to the President, Government has undertaken major reforms based on its recommendations. 
 
Eight new laws have been enacted to strengthen our anti-corruption institutions, enhance the procurement system, reform the intelligence services, and improve corporate accountability and public administration.
 
The value of assets linked to State Capture that have been recovered by the state stood at nearly R11 billion by March 2025. 
 
Another R10.6 billion is currently frozen, awaiting the outcome of cases in court.
 
There are criminal cases arising from the state capture commission that have been concluded, all with guilty verdicts. Other cases, involving 51 individuals and 27 companies, are currently enrolled in court.
 
Each of these commissions and panels unearthed information and made findings that were critical to understanding the events that took place. They were essential in ensuring accountability and providing recommendations on strengthening our institutions and processes.
 
These commissions and panels show a government that takes responsibility, that is committed to transparency and accountability, that does not fear independent scrutiny, and that is determined to take corrective action where lapses have taken place.    
 
We continue to make progress in investigating and prosecuting corruption.
 
Since its establishment last year, the NPA’s Investigating Directorate against Corruption has authorised over 120 matters involving more than 215 of the most high profile state capture corruption accused. 
 
Over 80 cases are currently under investigation and approximately 40 have already been enrolled.
 
The NPA is using new technology to conduct complex investigations through the rapid, efficient analysis and documentation of digital evidence. 
 
South Africa has substantially completed all 22 action items that were contained in the Action Plan adopted when South Africa was greylisted in February 2023. This paves the way for an on-site visit, which is the final step before the FATF can delist South Africa.
 
We are at the mid-point of the implementation of the National Strategic Plan on Gender-Based Violence and Femicide. Yet, violence against women and children continues unabated. It remains a pandemic that shames the men of our nation.
 
While we can point to progress in responding to instances of gender-based violence – from clearing the historical DNA backlog to increasing conviction rates and improving victim services in police stations – our greatest challenge is to prevent such instances in the first place.
 
Our efforts to prevent gender-based violence need special focus. They need to be intensified, massively scaled-up and include all sectors of society. We need to give greater attention to the social factors – such as alcohol abuse – that fuel such violence.
 
The impact of weak governance is felt the most at the local level.
 
We recognise that many of our cities and towns are failing to deliver basic services, creating serious challenges for businesses and residents.
 
We have initiated a comprehensive reform of the local government system, underpinned by a review of the White Paper on Local Government and of the local government fiscal framework.
 
While this reform process is underway, The Presidency is providing targeted intervention and support in struggling municipalities, starting with eThekwini and Johannesburg. 
 
Working groups established in both of these cities have brought together mayors, senior officials from local, provincial and national Government, business and civil society to tackle the most urgent problems.
 
The progress made since the establishment of the Presidential eThekwini Working Group shows that this model does work.
 
In the last year, the tourism sector in eThekwini has seen significant recovery, with a 33 percent growth in domestic trips in 2024 contributing over R17 billion to the local economy. 
 
The Presidency is uniquely positioned to bring together the many stakeholders within and beyond Government who must work together to turn our cities around.
 
Honourable Members,
 
South Africa’s International standing has been greatly enhanced in recent years despite the increasingly challenging global circumstances in which we pursue our national goals.
 
Multilateralism is on the retreat. Global stability and development are being threatened by unilateral and coercive economic measures.
 
Conflicts in some parts of the world are having economic, political and social consequences far beyond the areas of conflict.
 
The erosion of rules-based multilateralism undermines efforts to achieve a level playing field in economic relations, and places emerging markets such as ours in a vulnerable position.
 
The economic uncertainty that arises from these developments dampens the growth prospects of economies around the world.
 
Last week, we received notification that exports from South Africa to the United States will attract tariffs of up to 30 percent from 1 August 2025.
 
This could have a substantial impact on the products we export to the United States. 
 
We welcome the commitment by the US government that the 30 percent tariff is subject to modification pending the conclusion of negotiations between our two countries. 
 
At the same time, we continue the work to diversify our export markets and build a more resilient domestic economy.
 
We continue with our efforts to strengthen relations with the United States, which remains a strong investment and trading partner.
 
Our successful working visit to the US in May reaffirmed the importance of keeping the channels of dialogue open and established a basis for greater engagement and cooperation.
 
Organisations that seek to use South Africa’s relations with other countries to advance their own domestic agenda undermine these efforts.
 
We are now at the halfway mark of our G20 Presidency.
 
So far, nearly 70 of the 130 planned official meetings have taken place, and we are making progress in engagement with fellow G20 countries on the central themes that we have identified for our Presidency.
 
Through our participation in other fora, such as the recent BRICS Summit in Brazil and the G7 Summit in Canada, we have reinforced our position on critical issues of concern to all G20 countries.
 
These issues include debt sustainability and financing for development and climate action. We are seeking agreement on a sustainable approach to critical and rare minerals that benefits the communities and countries where these resources are found. 
 
Throughout our participation in G20 meetings over the last half year, we have sought to advance shared solutions to common problems, promote the African Agenda and place the interests of the Global South firmly on the Global Agenda.
 
As we reflect on our place in the world, we express our horror and dismay at the genocide taking place in Gaza. 
 
More and more Palestinian civilians are being killed every day, millions face starvation, homes, hospitals and other essential infrastructure are being destroyed.
 
The fact that these atrocities are taking place in plain sight of the international community – with no concerted effort to end them – is a damning indictment of world leaders.
 
The stance that South Africa has taken on the genocide in Gaza, including the application we have made to the International Court of Justice, is founded on our commitment to peace and justice.
 
We are equally concerned at the grave humanitarian situation in Sudan. 
 
The conflict is taking a severe human toll. It is estimated that over 30 million people need aid and some 12 million people are displaced.
 
The international community has a responsibility to support regional and other efforts to end the conflict and provide the assistance that the people of Sudan desperately need.
 
As the situation in the eastern DRC enters a new phase, the SADC mission has ended and our personnel are being withdrawn in a phased manner.
 
As we welcome the return of our soldiers, we remember with great sorrow the 14 SANDF soldiers who lost their lives, alongside soldiers from other Southern African countries, to bring peace and security to the region. 
 
We are hopeful that the parties to the conflict will now engage in the envisaged dialogue and cessation of hostilities culminating in an all-inclusive political process that leads to a lasting solution.
 
South Africa remains part of initiatives to end the Russia-Ukraine conflict and achieve a just and lasting peace.
 
While many of these conflicts are far from our shores, we have an interest in seeing them resolved.
 
Our history places upon us a moral responsibility to strive for an end to suffering and oppression around the world. We also have obligations under international law to prevent genocide and ensure accountability for atrocities.
 
It is in our interests as a country to ensure that international law is upheld and consistently applied and that global bodies like the UN Security Council are effective in ensuring peace and security.
 
We will intensify efforts to reform these global institutions to ensure that they are representative and inclusive.
 
It is unacceptable that 1.4 billion Africans have no permanent representation on the UN Security Council.
 
It is these laws and these institutions that we will look to for protection and support as we confront the uncertainty of a changing world.
 
Honourable Members,
Fellow South Africans,
 
A tree survives strong winds by its deep and extensive roots, anchoring itself in the soil. 
 
Its flexible branches can bend and sway with the wind, enabling it to adjust to changing circumstances.
 
A forest of trees works together to withstand a storm, the closeness of their canopies breaking the wind’s force.
 
Like a baobab of Limpopo or a yellowwood of the Eastern Cape, our roots have been made firm by experience. As the winds pick up around us, they will hold us to the ground.
 
The formation of the Government of National Unity has inspired new hope in South Africans that we can make progress in addressing our most urgent challenges.
 
Our task is clear. We must grow our economy, create jobs, reduce poverty, tackle corruption and crime, and build a state that works with institutions that will stand the test of time.
 
While we will always have differences and disagreements, we are all committed to staying the course and seeing these reforms through to the end. 
 
We must combine the strength of our principles and convictions with an openness and willingness to listen and adapt.
 
The Presidency will continue to lead Government in ensuring that we do so, and that we deliver a better life for all South Africans.
 
I hereby commend this Budget Vote of The Presidency to the National Assembly and look forward to a constructive debate.
 
I thank you.