Speaking in Johannesburg on Friday, South Africa’s (SA) Deputy Minister in the Presidency Nonceba Mhlauli, said that reduced load shedding, a direct outcome of reforms in the energy sector, had already had a “tangible impact” on households and businesses alike.
She was presenting the third‑quarter Operation Vulindlela Progress Report, which outlines key reform achievements across priority sectors between October and December 2025.
Operation Vulindlela, launched in October 2020 as a partnership between the Presidency and National Treasury, aims to accelerate essential reforms to boost economic growth, improve public services and reinforce the capability of the State.
Mhlauli noted that improvements in the rail system were enabling the recovery of passenger rail services, with most corridors now operational and providing affordable transport across major urban centres. During the 2024/25 financial year, the Passenger Rail Agency of SA (PRASA) recorded 77 million passenger trips, nearly double the 39.4 million from the previous year.
In addition, PRASA marked the delivery of 300 locally manufactured commuter train sets and revitalised 46 stations, exceeding the target of 40. This brings the total number of recovered, functioning stations to 313 out of 468 nationwide.
Visa reforms have also played a significant role in job creation and the revival of the tourism sector, Mhlauli said. SA welcomed a record 10.48 million tourists between January and December 2025, an increase of 17.6% compared with the previous year. The figures highlight a strong recovery from the COVID‑19 slump, when arrivals fell to 2.8 million in 2020 and 2.3 million in 2021.
Tourism now sustains 1.8 million direct and indirect jobs, with one local job created for every 13 international arrivals. According to the Deputy Minister, the sector remains a powerful driver of economic growth, investment and employment, with knock‑on benefits across multiple industries.
Mhlauli emphasised that the State is shifting from planning to delivery, with reform momentum increasing. She pointed to key signs of recovery: four consecutive quarters of economic growth, a falling unemployment rate, a stronger currency and rising commodity prices, all reinforcing SA’s upward economic trajectory.
Mhlauli stressed that Operation Vulindlela’s reform agenda is crucial to ensuring these improvements translate into lasting, sustainable growth. Reforms across energy, water, logistics and immigration are intended to unlock higher levels of fixed investment and support long‑term economic expansion.
Statistics SA reported that in the third quarter of 2025, the unemployment rate fell to 31.9%, a decrease of 1.3 percentage points from the previous quarter. Real GDP grew by 0.5% between July and September 2025, following a 0.9% increase in the second quarter.
After more than a decade of low growth and heightened uncertainty, Mhlauli said the country is “turning a corner”, largely due to far‑reaching economic reforms. Strengthened economic fundamentals, she added, will help shield the economy from global volatility while positioning SA to seize new opportunities.
“All of this combines to make a strong case for investment in order to capitalise on SA’s growth story,” Mhlauli concluded.
–ChannelAfrica–
