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BLSA CEO’s Weekly Newsletter – Private skills can get public infrastructure moving

4 October 2026

BLSA CEO’s Weekly Newsletter – Private skills can get public infrastructure moving

• Investment fell to 13.6% of GDP in the second quarter, its weakest level in five years and far below…

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Business Leadership South Africa (BLSA) is an independent association whose members include the leaders of some of South Africa’s biggest and most well-known businesses.

Through BLSA, South Africa’s business leaders engage key players in South African society, including government, civil society and labour, to exchange ideas in our national interest and to create effective dialogue.

By so doing, we contribute to building strong communities underpinned by job creation through sustained economic growth.

INITIATIVES

TAMDEV

The Technical Assistance Mentorship Development (TAMDEV) programme, anchored by NBI, is a collaboration between Government and Business.

THOUGHT LEADERSHIP

04/10/2026 | By Busiswe Mavuso

BLSA CEO’s Weekly Newsletter – Private skills can get public infrastructure moving

• Investment fell to 13.6% of GDP in the second quarter, its weakest level in five years and far below the 30% needed for credible growth. • The state has budgeted more than R1tn for infrastructure over three years, but only one in six government tenders was awarded in 2025. • The main constraint is skills. Private-sector expertise can speed up project preparation, bid evaluation and delivery, as the renewable energy programme showed. • Business stands ready to help the state turn its infrastructure budget into live projects. The GDP figures for the second quarter were disappointing, with the economy shrinking by 0.2%. But among the numbers, I was struck by how weak investment still is. Gross fixed capital formation (GFCF) was 13.6% of GDP. That was the weakest number in five years, despite the very positive work done since 2021 to turn around the performance of electricity and logistics systems. We have always known there is a lag effect – the economy must prove it is working better before businesses commit long-term investment capital. The business-government partnership has targeted 20% of GDP as a medium-term goal, though we have long seen 30% as the level needed to support credible […]

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MEMBERSHIP CRITERIA

Membership to Business Leadership South Africa is granted on application, or by invitation from the Board, based on certain criteria approved by the Council as a whole. Find out more