Ramaphosa says SA's economic reform agenda will create conditions for higher growth
Ramaphosa said the progress report on Operation Vulindlela, which is government's initiative to accelerate economic reform, shows steady progress.
Ramaphosa was writing in his latest newsletter, where he gave an update on government's efforts to turn the economy around.
In the first quarter of the year, South Africa's economy expanded by a marginal 0,1% compared with the fourth quarter of 2024.
But Ramaphosa said they'd made some headway in clearing obstacles that have held back the country's growth agenda.
He said these include the reduction in load shedding over the past year, which was supported by reforms to unlock private investment in electricity.
Ramaphosa said they're moving at pace 'towards a competitive electricity market, which will introduce greater competition in electricity generation and reduce the chances of experiencing load shedding again'.
He said government had also reduced the turnaround times for approval processes for water use licences and energy projects.
Ramaphosa said the measures were 'common sense reforms' that would preserve public ownership of key infrastructure while introducing greater competition and investment.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Herald
an hour ago
- The Herald
Police minister Mchunu, top cop Masemola will be arrested: Malema
'There are factions in the police: the minister working with [ deputy national commissioner Shadrack] Sibiya, and the national commissioner [Mkhwanazi] working with [suspended crime intelligence boss Dumisani] Khumalo. 'There is a power struggle there ... We want the truth to come out. What Mkhwanazi said must be repeated, backed by evidence in the ad hoc committee and in the commission of inquiry — and I'm going to sit in that committee. I'm not scared of police, soldiers or anyone, including drug cartels and criminals.' President Cyril Ramaphosa responded to Mkhwanazi's allegations by placing Mchunu on special leave, appointing Wits professor Firoz Cachalia as acting police minister (effective from August 1) and establishing a judicial commission led by acting deputy chief justice Mbuyiseli Madlanga. Mchunu denies the allegations, calling them 'wild and baseless'. Sibiya has also rejected the claims against him. Malema believes Mchunu should have been fired but claimed 'Cyril and Mchunu are in the same faction'. 'If Mchunu loved Cyril he should've resigned. Now the president has to do something to look like he's doing nothing, Mchunu is [still] a minister.' The DA and MK Party have filed criminal charges against Mchunu, with the public rallying behind Mkhwanazi.
The Citizen
2 hours ago
- The Citizen
‘Open our eyes and ears' – Ramaphosa on how to tackle US tariff hike on SA cars
In response to the incoming US tariffs, Ramaphosa said South Africa needs to look at other markets. South Africa will feel the wrath of the Trump administration as it stands firm on implementing the 30% tariff on exports to the United States (US). Other countries will also be affected by President Donald Trump's decision, as their export tariffs are increasing as well. In South Africa, the automotive sector will be significantly impacted, as some brands, such as Mercedes-Benz, export to the US. President Cyril Ramaphosa, speaking at the BMW plant in Rosslyn, Pretoria, on Thursday, highlighted that the automotive industry has a significant impact on the country's GDP, as it contributes 4.9%. ALSO READ: US tariff of 30% on SA exports: where to now? Ramaphosa on US tariffs BMW Group SA hosted an engagement to highlight its commitment to strengthening South Africa's economic vitality and advancing its industrial innovation. 'The tariffs from the US have turned the world upside down and are a huge threat to us as well because we export a lot of products to the US, such as vehicles, agricultural products and mineral products,' said Ramaphosa. During his keynote address, he added that SA is the 22nd largest car exporter in the world. Ramaphosa added that the US market is important to SA; however, it is time to diversify the country's export base and accelerate domestic value creation. 'As we face this threat of higher tariffs, we need to open our eyes and ears and see where else our vehicles can go.' SA government engaging on US tariffs Ramaphosa added that producers of some industries have already felt the pressure of the incoming US tariffs. He said the South African government is engaging with the US, and he hopes this will yield success in the coming days. 'We need to look at other markets, and being an African country, with an African continental free-trade, we have got to see how we open up the rest of the continent, because we have a very positive tariff-free opportunity with the rest.' He applauded BMW for exporting the new X3 to Europe. He said that exporting cars to other countries demonstrates trust in the skills South Africans possess and highlights the industry's potential. ALSO READ: Devastating impact of US tariffs on SA automotive sector even before implementation BMW Group South Africa invited President @CyrilRamaphosa to a showcase of the successful implementation of the latest investment for production of the new BMW X3 Plug-in Hybrid Electric Vehicle at the automaker's plant at Rosslyn in Tshwane. — The Presidency 🇿🇦 (@PresidencyZA) July 24, 2025 BMW not affected by tariffs Danny Bester, BWM plant director, told The Citizen that they are not affected by the US tariffs, as they are not currently exporting to the country. 'Right now, we are not affected by the US tariffs because most of our volumes are going to other parts of the world, like Europe, Australia and New Zealand.' He added that they would like to have access to the American market. However, they have sent 16% of the current generation to the US. When asked if they will be looking into expanding in the future, Bester said BMW is aiming to build a new record volume by the end of the year. NOW READ: Mercedes-Benz halts production in Eastern Cape – Will employees be paid?
IOL News
2 hours ago
- IOL News
South Africa positions itself as a global hub for new energy vehicles, says Ramaphosa
President Cyril Ramaphosa speaking at the BMW plant in Rosslyn, Pretoria. Image: Willem van de Putte President Cyril Ramaphosa says that with the electric vehicle white paper and the incentive programme, the country has committed to a stable, predictable and supportive framework for companies to be able to invest and grow in South Africa. Speaking at the BMW plant in Rosslyn, Pretoria, with the theme 'A strategic vision for South Africa's automotive future', he was quick to praise the company for the work they have been doing. BMW South Africa manufactures the X3 range of SUVs, exporting them to more than 24 different countries around the world. More importantly, they are the sole manufacturer for the BMW X3 plug-in hybrid. Transformation 'We are on an exciting journey of transformation, change, and development in numerous ways, and your efforts have been pivotal in driving this transformation forward. 'The automotive sector serves as the cornerstone of our industrial strategy, accounting for 4.9% of our GDP and directly supporting over 115 000 manufacturing jobs. Its impact extends far beyond these figures, affecting the livelihoods of more than half a million individuals throughout the value chain,' he said. 'South Africa stands as the 22nd largest vehicle exporter in the world, with key markets including the European Union, the United States, the United Kingdom, and several other countries. Moreover, the African continent, particularly within the SADC region, is emerging as an increasingly important export market. 'We have successfully positioned ourselves as a globally competitive hub for automotive manufacturing, and the BMW Group has played an essential role in this significant journey.' Referring to New Energy Vehicles, Ramaphosa said: 'The transition to green mobility and the electrification of vehicle production aligns with our global commitment to reducing emissions and supporting the shift towards a low-carbon, climate-resilient economy, and we are proud to be part of this important movement. Next Stay Close ✕ Ideally positioned 'We are truly encouraged by the significant milestones achieved by the BMW Group. As the shift towards battery electric vehicles, plug-in hybrids, and hydrogen mobility gains momentum, South Africa is ideally positioned as a vital global manufacturing hub for the future of mobility. 'We are dedicated to creating an enabling regulatory and policy environment that facilitates innovation and creativity, allowing companies like BMW to play a leading role in this sector. 'Through initiatives like the Automotive Production Development Program, the recently introduced Electric Vehicle White Paper, and an accompanying incentive program, we are committed to establishing a stable, predictable, and supportive framework that encourages companies to invest, localise, and grow in South Africa.' Opportunity Ramaphosa added that the transition to NEVs offers an opportunity for the local component manufacturing sector, which has primarily focused on internal combustion engine (ICE) components. 'Given our substantial reserves of critical minerals, we have the potential to become a hub for processing and refining these minerals extracted from South African soil. Our goal is to enhance their value, allowing us to export finished products rather than just raw materials. We are in the process of finalising targeted incentives aimed at promoting battery cell localisation, manufacturing electric vehicle components, advancing clean mobility initiatives, and fostering research and design - all of which are essential for our growth in this sector,' he said. Trump tariffs Touching on the increased tariffs announced by US President Donald Trump, he admitted that it would have a huge impact, but failed to elaborate. 'The United States is a key market for our vehicle exports, and it further underscores the need for us to diversify our export base and to accelerate domestic value creation as well. As we navigate the challenges of higher tariffs, it's crucial for us to keep our eyes and ears open to explore new markets for our vehicles. While it's encouraging that the X3 is being exported to Europe, we also need to focus on expanding into the African market.' Speaking to the employees, the President said that the plant was a vote of confidence in their abilities. 'The production locally of the BMW X3 plug-in hybrid is a symbol of trust, a trust in the skills all of you have and a vote of confidence in our partnerships and our potential,' he concluded.
