South Africa’s infrastructure ambitions are not constrained by a lack of capital; rather, they are adversely affected by a lack of bankable opportunities.
As we reach the midway point of Africa Month, it is perhaps appropriate to reflect on the direction of investment in infrastructure, specifically in South Africa.
Why infrastructure, you may ask? Because, as President Cyril Ramaphosa noted at the recent South Africa Infrastructure Investment Summit, “infrastructure is the next great frontier of investment”. I had the good fortune of participating in the summit as part of a seminal panel discussion examining the importance of partnerships in solving funding blockages.
President Ramaphosa also noted at the summit that “private capital and expertise is critical to Africa’s infrastructure progress”. We share this assessment wholeheartedly.
According to a joint World Bank and Development Bank of Southern Africa report on infrastructure funding, South Africa requires R13 trillion to modernise its transport and logistics systems. This is an existential challenge that cannot be met by the public sector alone, as the president and members of his cabinet have widely acknowledged.
