Premier

Question by: 
Hon Benedicta van Minnen
Answered by: 
Hon Piet Pretorius
Question Number: 
18
Question Body: 
  1. How much has the Department spent on infrastructure projects aimed at advancing job creation since the beginning of the current administration and (b) what other measurable outcomes have been achieved to date?
Answer Body: 
  1. The Western Cape Government (WCG) prioritises infrastructure investment as a key driver of economic growth, social development and resilience and also aims to ensure that these investments remain enablers of opportunity and advancement of job creation for all residents of the Western Cape.

The Department of the Premier is tasked with devising and overseeing the broad strategic direction for the Western Cape, which is outlined in the 2025-2030 Provincial Strategic Plan (PSP). Given that the apex priority for the Western Cape over the next five years is the creation of jobs through economic growth, the Western Cape Government’s efforts toward maintaining and improving infrastructure are shaped by the provisions of the PSP, specifically the Infrastructure and Connected Economy,  Technology and Innovation, and Energy Resilience and Transition to Net Zero Carbon focus areas of the PSP’s Growth for Jobs portfolio.

As such, while the Department of the Premier does not have a direct budget for the pursuit of infrastructure improvement, the Department is involved in overseeing and directing the efforts of the various departments throughout government in order to ensure that infrastructure budgets are spent on initiatives which create the necessary conditions to allow for economic and business growth and for businesses to create jobs.

Over the 2024/2025 financial year, the Western Cape Government has spent more than R10 billion on critical, job-creating infrastructure. This includes R7.58 billion from the Department of Infrastructure, R2.759 billion from the Western Cape Education Department, and R82.285 million from the Department of Health and Wellness. These investments created many work opportunities directly, but the real benefit of these projects is their ability to enable the breakout economic growth necessary to create enough jobs for the Western Cape’s rapidly growing population.

The Provincial Infrastructure Investment for 2025/26 financial year reflects a continued commitment to evidence-based planning, strategic investment, and sustainable financing. As outined in the Budget Overview of Provincial and Municipal Infrastructure Investment, 2025, the current financial year sees an investment in Social Infrastructure as an enabler for the improvement of education and health, including emphasis on Spatial Transformation to enhance access to services, faciloities and opportunities, as follows:

  • Roads: R4.193 billion
  • Education: R2.861 billion
  • Human Settlements: R1.950 billion; and
  • Health and Wellness: R1.397 billion
  1. The Western Cape has 120 000 more people employed in the first quarter of 2025 as compared to the first quarter of 2024, with 360 000 more people employed since COVID-19. The province's unemployment rate remains below 20 percent, with a 70 percent labour force participation rate, while several other provinces recording participation rates near 55 percent and higher unemployment rates.

The WC employment growth spans multiple sectors, with over 25 000 jobs created in each of agriculture, fishing and forestry, manufacturing, transport, storage and communication, alongside comparable growth in the services sectors. This diversification is crucial for economic resilience against sector-specific disruptions. Non-metropolitan areas typically contributed one-third of total employment and growth, attesting to vital contributions beyond Cape Town from smaller towns and rural communities.

The prominence of transport, storage and communication in job creation underscores the foundational role of infrastructure in enabling broader and geographically dispersed economic activity. Transport networks, logistics capabilities, and communication systems support agricultural and manufacturing expansion while facilitating services growth and sustaining the province's economic diversification.

Sustained progress will depend on infrastructural capacity that can accommodate economic expansion and potential population growth, and preserve service delivery standards that support continued competitiveness, to attract vital foreign investment.

Date: 
Friday, May 30, 2025
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