The April 2025 Gauteng Investment Conference secured R312.5 billion in private sector pledges—surpassing its R300 billion target and signalling strong investor interest. Approximately 60 projects, expected to be operational by 2026, span key sectors including transport, manufacturing, and agro-processing, and are projected to generate over 114,000 jobs. While the volume of pledges reflects growing private…
The 2025 Budget, tabled by Finance Minister Enoch Godongwana, places a renewed emphasis on infrastructure as a catalyst for economic recovery and private sector participation in South Africa. With R1.1 trillion earmarked for infrastructure over the Medium-Term Expenditure Framework (MTEF), the budget reflects a shift toward economic infrastructure such as transport, logistics, energy, and water…
Contradicting the 3 percent y-y nominal decline in Gross Fixed Capital Formation (GFCF) estimates for the 4th quarter of 2024, construction turnover recorded a stellar performance in the last quarter of 2024, with robust growth within the larger and medium size enterprises, while challenges remain within smaller contracting enterprises. This does not mean that margins…
In March 2025, the CRMS Index, which tracks the market performance of construction-related companies on the JSE, grew slightly by 0.3%. Gains in contractor and supplier companies were weakened by a big drop in retailers. While PPC Cement saw strong growth and announced the construction of a new plant, companies like Cashbuild and Italtile struggled….
Estimated Civil Tender Values: February 2025 Despite major infrastructure investment plans and early signs of recovery in the construction sector, civil tender activity remains sluggish following the May 2 Despite major infrastructure investment plans and early signs of recovery in the construction sector, civil tender activity remains sluggish following the May 2024 elections. A 20%…
The February 2025 report highlights a sharp decline in South Africa’s public sector building tender values, which fell by 68.7% year-on-year in February 2025, after a brief recovery in December 2024 and January 2025. The total public sector tender values for the past 12 months dropped by 34%, with Limpopo, Eastern Cape, and KwaZulu-Natal having…
Slow recovery in private sector building demand, off dismally low levels, offset by weaker civil construction tendering activity. The February 2025 Construction Monitor highlights South Africa’s construction sector as facing ongoing economic and fiscal pressures, with modest growth, weak investment, and delayed public projects posing risks to recovery. While some progress is being made through…
Consumer inflation was unchanged at 3.2% in February 2025, despite an acceleration in government controlled prices (administered prices) to 4.2%. CPI excluding government prices, slowed to 3.1%, from 3.2% (Jan-25). Water and Electricity prices have for example consistently increased above the target range, leaving consumers and businesses to carry the burden of absorbing these higher…
“Building Delays, Budget Chaos—Yet Billions in Projects Move Forward!” While the value of civil projects awarded surged by more than 200 percent y-y in February 2025, delays in public sector payments and budget approvals are creating cash flow challenges for contractors. Many have faced payment backlogs since October 2024, leading to project suspensions and financial…
What to expect in this report: This report provides a comprehensive analysis of the South African construction industry’s outlook for 2025 and 2026, highlighting both opportunities and challenges shaping the sector. It begins with an economic overview, examining global and domestic factors influencing construction activity, including GDP growth forecasts, inflation trends, interest rates, and investment…
