SA invests R290bn in infrastructure

Thursday, February 18, 2016

Pretoria – South Africa has invested R290 billion in infrastructure in the past calendar year, says Economic Development Minister Ebrahim Patel.

Speaking in Parliament during the State of the Nation debate on Wednesday, he said the money went towards building 160 new schools, 100 000 new houses, new higher education housing accommodation for 3 100 students, 265 000 homes were connected to electricity as well as the start of construction on three new technical college campuses and two new universities. 

The Minister said through these projects, thousands of people became employed as engineers, metal workers, plumbers, electricians, bricklayers, road builders and construction workers.

“The investment helped millions of citizens in townships and suburbs to experience change in their lives,” Minister Patel said.

He said even though South Africa’s economy was in a tough position, it still managed to create 712 000 new jobs in 2015.

Most of the new jobs came from agriculture, the construction industry and business services.

The province with the strongest employment creation over the 12 months was Gauteng with 191 000 more jobs, followed by KwaZulu-Natal and Limpopo.

“Employment for the year as a whole grew by 4.7 percent, significantly outperforming Gross Domestic Product (GDP) growth,” he said.

He noted that too many people remain unemployed in the country. “This is what we need to address as we upscale our efforts on economic growth and make it more inclusive.”

He said even though these were difficult times, a lot could be achieved with partnerships. “We have concrete plans and above all, actions in order to stimulate inclusive growth, job creation and reduction in inequality.”

He said government will need to act decisively against corruption that diverts resources and skews decision-making.

“For state-owned companies, we will need to strengthen governance, restore their balance sheets and enhance operational management.

“We will act against public entities who do not pay small suppliers on time and deepen our partnerships with the private sector and labour,” Minister Patel said.

He said state capacity will need to be sharpened with trained qualified staff in key positions. – SAnews.gov.za