Ramaphosa Urges Construction Sector to Lead SA’s R1 Trillion Infrastructure Drive

Ramaphosa emphasized that the reforms aim to turn policy commitments into visible action, transforming urban and rural landscapes across South Africa.

President Cyril Ramaphosa has called on South Africa’s construction sector to step boldly into a new era of national development by seizing the unprecedented opportunities created by government’s R1 trillion infrastructure investment programme. Addressing the National Construction Summit in Kempton Park, Gauteng, the President delivered a direct and inspiring message to industry leaders:

“We have the money, we have the leadership, we have the opportunity. Just go and construct South Africa.”

The Summit brought together contractors, developers, engineers, financiers, regulators, and public-sector decision-makers to align behind a shared goal: transforming South Africa into a nation of building sites, increased investment, and accelerated economic recovery.

Massive Infrastructure Commitment to Catalyse Growth

Government has earmarked R1 trillion over the medium term specifically for infrastructure development — a commitment reinforced by the Government of National Unity (GNU)’s first budget earlier this year. The investment targets major upgrades and expansions across transport, energy, water, digital infrastructure, and social facilities such as schools and hospitals.

In tandem, sweeping reforms have been introduced to make infrastructure delivery more efficient and more attractive to private-sector partners. Central to these reforms are amendments to Treasury Regulation 16, which came into effect in June 2025. These reforms focus on:

• Streamlining Public-Private Partnerships (PPPs)

• Managing fiscal risks more effectively

• Easing private-sector participation

• Improving governance and accountability in infrastructure delivery

Ramaphosa emphasized that the reforms aim to turn policy commitments into visible action, transforming urban and rural landscapes across South Africa.

A Vision: South Africa as One Large Construction Site

The President urged both the public and private sectors to ensure that the infrastructure drive becomes visible across the nation:

“We want to see cranes and construction vehicles in cities, townships, villages and rural areas… When visitors travel by road or rail or air, they must see a country at work.”

This vision places infrastructure at the heart of South Africa’s growth trajectory, underpinning economic expansion, job creation, and improved service delivery.

Government Declares Zero Tolerance for Sabotage and Delays

President Ramaphosa issued a firm warning that government will not allow criminal networks or underperforming contractors to derail national infrastructure progress.

“We will not negotiate with construction mafias… We have declared war on them and they will not stop us.”

He affirmed that the state is strengthening enforcement measures to counter:

• Construction mafia disruptions

• Cable theft

• Infrastructure vandalism

• Illegal site occupation

Additionally, the President highlighted the South African Construction Action Plan, a comprehensive accountability framework developed to ensure infrastructure projects commence and conclude on schedule. The plan includes:

• Consequences for underperforming contractors

• Real-time project tracking through technology

• Actions to address cash-flow delays

• Measures preventing repeat poor performance by contractors in future tenders

Procurement War Rooms to Unblock Delays

Provinces are preparing to establish Procurement War Rooms, which will fast-track evaluations, resolve administrative blockages, and ensure quicker transitions from tender to site.

These War Rooms will strengthen governance, improve audit outcomes, streamline supply chain processes, and support professionalization of the public service in the built environment.

Infrastructure as the Engine of Transformation

President Ramaphosa underscored infrastructure’s transformative role across society, stressing that major investments deliver long-term benefits:

• Social impact: Better access to hospitals, schools, roads, and water infrastructure improves quality of life and reduces inequality.

• Economic growth: Modern infrastructure enhances productivity, lowers business costs, and enables trade.

• Investment attraction: Visible large-scale construction drives confidence and draws local and global investors.

• Job creation: Infrastructure projects remain a key generator of employment, especially in the emerging and small contractor sectors.

“The roads we build, the bridges we construct, the schools and hospitals we erect are the foundations of opportunity and hope.”

MTBPS Reinforces Infrastructure Mobilisation

The Medium-Term Budget Policy Statement (MTBPS), tabled the day before the Summit, reaffirmed that structural reforms are underway to:

• Mobilise significant private-sector finance

• Attract engineering and technical expertise

• Improve project execution capability across the state

• Enhance value-for-money and quality in infrastructure spending

Government’s objective is clear: create a development state that can implement infrastructure effectively, transparently, and at scale.

A Call to Build the Future

President Ramaphosa closed his address with a powerful appeal to industry stakeholders:

“Infrastructure should be the main area of activity in taking our country forward.”

The Summit reaffirmed that South Africa’s future lies in construction-led growth — a future where cranes and construction workers symbolise national renewal, communities benefit from improved services, and economic transformation becomes visible in every province.