Cabinet has called on all sectors of South Africa to build on the momentum of the slightly increased Gross Domestic Product (GDP).

This is according to Acting Minister in the Presidency Maropene Ramokgopa who briefed the media on Thursday, following a regular meeting held by Cabinet this week.

Earlier this week, Statistics South Africa reported that the economy has grown by some 0.4% during the second quarter of 2024.

‘Cabinet noted the slight increase in the growth of the South African economy…which sets a positive tone for our overall economic performance for the year. South Africa’s economy remains robust and Cabinet encourages all sectors of society to build on this momentum going forward.

‘When all sectors build on this momentum as a nation, we will realise the creation of more jobs and improve the living standards of all South Africans.

‘Cabinet has prioritised inclusive economic growth and job creation for the Seventh Administration and therefore existing interventions will be intensified to achi
eve this objective,’ Ramokgopa said.

Investment and infrastructure development

Ramokgopa told the briefing that government remains focused on growing the economy, reducing unemployment and creating a more resilient investment climate.

In that regard, she said, Cabinet welcomed the launch of the R1.1 billion automotive components manufacturing facility at the Dube Trade Port Special Economic Zone in KwaZulu-Natal.

‘The massive investment by Toyota Tsusho Africa (Pty) Ltd and Ogihara Thailand Corporation Ltd is a vote of confidence on South Africa’s position as a formidable destination for foreign direct investment.

‘The investment also underscores the progress that has been made under the stewardship of President Cyril Ramaphosa, who has championed an investment drive that has attracted more than R1.51 trillion in investor commitments since 2018.

‘South Africa’s investment appeal continues to draw catalytic investments that affirm the government’s intent to drive economic growth and create jobs,’ she sai
d.

Furthermore, Ramokgopa noted that the recently approved R17.8 billion funding from the BRICS New Development Bank (NDB) will accelerate infrastructure development in water and sanitation.

Transnet has also signed a R5 billion loan agreement with the NDB in support of the public entity’s improvement and modernisation efforts in freight rail.

‘The recently approved R17.8 billion funding…for infrastructure projects in water and sanitation will reduce infrastructure backlogs and ensure the provision of basic services to poor households.

‘Cabinet expressed appreciation for the funding, which will greatly accelerate infrastructure development in our nation and contribute to improving the lives of people,’ Ramakgopa noted.

Source: South African Government News Agency