South Africa’s provinces collectively spent R29 billion on buildings and other fixed structures during the 2024/25 financial year, up 7.9% from the previous year despite a R1.5 billion underspend against budget. The Western Cape achieved the highest budget execution rate at nearly 100%, with a strong 18% rise in actual expenditure, while KwaZulu-Natal also improved spending despite a reduced budget. Conversely, Gauteng’s capital expenditure has deteriorated sharply since 2019, dropping from R10 billion to R3.5 billion (real terms), reflecting broader infrastructure decline and service delivery failures. Provinces like North West and Eastern Cape showed solid spending increases, but overall concerns remain around poor revenue collection, delayed payments, and declining infrastructure investment in key economic hubs…click here to download the review (available to subscribers)
