South Africa has more than $13 billion of transport projects
South Africa led the continent in infrastructure development over the last century. In recent years, mismanagement and neglect left the country’s transport sector in disarray, from rail to ports and road. There is a massive need to reinvest in South Africa’s transport sector to stimulate economic recovery post-COVID-19.
One of the wealthiest countries in Africa with natural resources in abundance, South Africa must invest in developing its transport infrastructure to ensure raw materials reach processing facilities. The 59 million population will grow by 11 per cent over the next ten years to 66 million. The COVID-19 pandemic resulted in jobless numbers swelling and the GDP contracting by double digits. The government needs foreign investment to stimulate growth and create job opportunities.
The transport sector is a crucial investment area that will create opportunities during construction as well as afterwards. At the moment, there are more than $13 billion active projects in South Africa’s transport sector. Of this, $1.4 billion is in the tendering phase. Rejuvenating the rail industry in South Africa to connect with the rest of the African continent will allow the country to export its expertise and create the potential to add value downstream to raw materials produced elsewhere on the continent.
If you enjoyed this article, you might also like to read “More than $23 billion of transport projects in Southern Africa“
For more information on these projects, please get in touch here.