Tshwane’s coalition government praised for economic turnaround and investment growth

Tshwane: The City of Tshwane’s coalition government has been praised for making significant progress in restoring financial stability, improving infrastructure, and attracting billions in investment, following the State of the Capital Address delivered at Thursday’s council meeting.

GOOD City of Tshwane councillor and MMC for Economic Development and Spatial Planning, Sarah Mabotsa, says the address reflected the positive impact of the multi-party administration in driving economic, social, and spatial justice across the capital city.

Mabotsa highlighted the city’s financial recovery, noting that three years ago the Auditor-General (AG) determined that Tshwane’s debts outweighed its assets. “The city is now operating under a fully funded budget and has strengthened its cash flow reserves from 17 days to 25 days,” Mabotsa said.

Among the major milestones outlined was the repayment of nearly one-third of the R6.67 billion debt owed to Eskom by the previous administration. More than 20,000 residents have also come forward to regularise their municipal accounts, helping reduce outstanding debtor balances by over 13%.

The city has additionally written off debt owed by more than 85,000 indigent households, a move Mabotsa said would relieve pressure on the poorest residents.

Cost-saving interventions were also highlighted, including an almost 80% reduction in spending on contracted water tanker services and a planned reduction in contracted security services by nearly 20% in the coming financial year. 

“The savings are being redirected toward infrastructure maintenance and improving internal service delivery capacity,” she added.

On infrastructure development, the city reported progress in replacing water pipelines, resurfacing roads, repairing potholes, and upgrading electricity substations to improve supply reliability in key economic zones such as Rosslyn.

Economic development featured strongly in the address, with the Tshwane Economic Development Agency’s verified investment pipeline increasing dramatically from R1.4 billion a year ago to more than R11 billion at the start of 2026.

The city has also released several major properties, including the Pretoria Showgrounds, industrial sites in Rosslyn, and the Mamelodi Odi Stadium, for long-term lease agreements aimed at attracting redevelopment and private sector investment.

Council recently approved precinct plans for the Tshwane Fresh Produce Market area and the Clydesdale precinct, which are expected to unlock thousands of new housing opportunities closer to places of work and study.

“We welcome international vehicle manufacturer Chery’s decision to establish a manufacturing base in Tshwane. This is a major boost for the city’s automotive sector and job creation efforts,” Mabotsa said.

The administration has also approved a new bylaw recognising informal economy participants and aims to strengthen township economies by expanding economic opportunities for local traders and businesses.

Tourism growth is another focus area for the city. Council approved a Tourism Strategy and Masterplan in March this year, targeting an increase in domestic tourism from 2.6 million to 3.2 million annual visitors by 2030, while international visitor numbers are projected to rise from 800,000 to 1.2 million annually.

The strategy is expected to contribute nearly R10 billion in additional annual spending to the Tshwane economy and support more than 100,000 direct and indirect tourism-related jobs.Mabotsa said the progress outlined in the State of the Capital Address demonstrates that the city’s current administration is delivering “real results, real support, and real growth and change” for Tshwane residents.

Leave a Reply

Your email address will not be published. Required fields are marked *