Ramaphosa urges private sector to unlock R1.8 trillion reserves

Ramaphosa

Pretoria – South Africa is seeing a steady conversion of investment pledges into real economic activity and jobs, according to President Cyril Ramaphosa, who says recent investment conferences are delivering tangible results across multiple sectors.

In a weekly letter released on Monday, 18 May 2026, Ramaphosa said the country’s investment drive has moved beyond “just for show”, arguing that engagements with investors are increasingly translating into factories, infrastructure and employment.

Ramaphosa pointed to a series of high-level engagements this year, including the sixth South Africa Investment Conference in March and an Infrastructure Investment Summit hosted by global asset manager BlackRock, as key platforms attracting capital.

“Since we launched our first national investment drive in 2018, we have attracted investments in energy, telecoms, infrastructure, automotive, mining, advanced manufacturing and many other sectors,” he said.

He added that of the R1.5 trillion in investment pledges made since 2018, about R634 billion has already been deployed into the economy, funding projects such as factories, mines, data centres and power plants.

Among the cited examples were BMW’s R4.2 billion investment to electrify its Rosslyn plant, Tetra Pak’s R500 million upgrade in KwaZulu-Natal, Corobrik’s R500 million brick plant project in Gauteng, and the Newlyn PX terminal at the Port of Durban.

Ramaphosa also highlighted the Ivanplats Platreef mine in Mokopane, which stemmed from a R2.8 billion investment pledge, as a case of commitments turning into operational projects.

He said investment is also supporting skills development, citing Microsoft’s partnership with the Youth Employment Service to expand artificial intelligence training, as part of its broader R5.4 billion expansion in South Africa.

Despite the progress, the President warned that investment levels remain below target. Gross fixed capital formation currently stands at around 14% of GDP, far below the National Development Plan’s 30% target for 2030.

Greater investment 

He noted that investment had previously peaked at around 21% in 2008 but declined due to the global financial crisis and the impact of state capture on investor confidence.

“Yet there is still a disconnect between improved investor sentiment and greater investment,” he said, adding that government is working to improve project planning, funding and execution to close the gap between pledges and implementation.

Ramaphosa further urged the private sector to play a stronger role, noting that South African companies are holding about R1.8 trillion in reserves.

“As we forge ahead with efforts to attract new investment, we call on the local private sector to be at the forefront of rebuilding investment momentum in our economy,” he said.

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