Transforming South Africa’s Education System: A Key to Inclusive Economic Growth
The report notes that South Africa’s economy is recovering following the successful political transition in 2024 and the near-elimination of energy load shedding.

South Africa’s economic future hinges on improving its basic education sector, as highlighted in the latest World Bank report. The fifteenth edition of the South Africa Economic Update, titled Learning: Overdue Reforms and Emerging Priorities for Basic Education, underscores the urgent need for reforms to enhance learning quality from an early age to drive inclusive growth.
South Africa’s Economic Outlook: A Recovery in Progress
The report notes that South Africa’s economy is recovering following the successful political transition in 2024 and the near-elimination of energy load shedding. Economic growth is projected to rise from an estimated 0.8% in 2024 to 1.8% in 2025, reaching 2% in the medium term. However, doubling the GDP growth rate of the past decade is still insufficient for meaningful progress toward job creation and inclusive prosperity. At this rate, South Africa would take approximately 60 years to achieve high-income status, with persistent poverty and inequality remaining key concerns.
For sustainable economic advancement, the World Bank suggests that the government take decisive action in three areas:
- Infrastructure Development: Building on recent reforms to alleviate severe constraints in the energy and transport sectors, fostering business growth and improving household income.
- Public Spending Efficiency: Optimizing government expenditure to maximize impact without increasing financial burdens.
- Human Capital Investment: Enhancing education and workforce skills to align with other upper middle-income countries, ensuring long-term economic and social development.
Education as the Foundation for Growth
“Education is a powerful driver of development and one of the strongest tools for poverty reduction and equality,” said Satu Kahkonen, World Bank Country Director for South Africa. “A well-functioning basic education system is crucial for fostering the skills of South Africa’s next generation and driving inclusive growth.”
Minister of Basic Education, Honorable Siviwe Gwarube, reinforced this message, stating, “This research aligns with our government’s priorities to ensure all South African children access quality education. Partnerships with stakeholders and investments in teacher training will yield measurable, positive impacts on both our people and the economy.”
The Learning Crisis: Challenges and Financial Constraints
Despite notable improvements since the end of apartheid, South Africa faces a severe learning crisis. In 2021, about 80% of Grade 4 learners could not properly comprehend reading material. Moreover, financial constraints are mounting, with real-term budget reductions and a projected increase of 1.2 million learners by 2030. The system also struggles with:
- Low-quality teaching and insufficient accountability.
- Fragmented reading programs that fail to scale beyond pilot phases.
- Inefficiencies in the government’s pro-poor education funding model.
Proposed Reforms for Educational Transformation
The World Bank report presents several key reforms to enhance access to and the quality of basic education:
-
Prioritizing Early Childhood Education: The government should focus on foundational learning from early childhood to Grade 3. This includes expanding early childhood services and implementing structured reading interventions, such as scripted lessons, teacher coaching, quality home-language materials, dedicated reading time, and regular assessments in literacy and math.
-
Public-Private Partnerships to Improve Access: Collaborating with the private sector can help close educational gaps, particularly for low-income learners. Presently, only 5.5% of South African students attend independent schools, compared to the global averages of 19% (primary level) and 27% (secondary level). Scaling up successful NGO-driven pilot projects and expanding networks of affordable schools could enhance learning outcomes efficiently.
-
Improving Efficiency and Equity: To boost overall learning quality, the report recommends adopting Teacher Professional Standards to guide training, expanding successful interventions, and revising school funding norms to address inequities. The short-term focus should be on enhancing early-grade education in underperforming schools through a revived assessment system to identify and support struggling institutions.
Conclusion: The Path to a Stronger Future
South Africa stands at a pivotal moment where decisive action on education can significantly alter its economic trajectory. A strategic focus on foundational learning, collaboration with private entities, and efficient resource allocation will be crucial in ensuring that every child receives quality education. By implementing these reforms, South Africa can pave the way for a more inclusive and prosperous future, where education fuels economic transformation and social progress.
- READ MORE ON:
- World Bank
- Education
- South Africa Economic Update