Treasury sets sight on municipalities, digital transformation to help turn economy around
Treasury has added a few new priorities to a government-led initiative that has seen reforms in the energy and logistics sectors.
Finance Minister Enoch Godongwana briefs the media following the postponement of his budget speech. Picture: Parliament
JOHANNESBURG - National Treasury said it has set its sights on municipalities and digital transformation as part of ramping up efforts to turn the economy around.
Treasury has added a few new priorities to a government-led initiative that has seen reforms in the energy and logistics sectors.
Operation Vulindlela was launched in 2020 in a bid to overcome structural constraints.
The initiative is now in its second phase, with Treasury and the Presidency leading Wednesday’s launch of the second phase.
About 94% of phase one reforms are either progressing well or have been completed since the 2020 launch.
National Treasury said investments to the tune of R500 billion have been unlocked as a result of the reforms.
Part of the success story is the reduction of the severity and frequency of load shedding as energy reforms start to yield results.
Minister of Finance Enoch Godongwana said the government has widened its scope for the new wave of reforms.
“The reform agenda will also prioritise strengthening local government and improve the delivery of basic services, harnessing digital public infrastructure as a driver of growth and inclusion, and creating dynamic and integrated cities to enable economic activity.”
If done right, Godongwana said he believes the economy will start to hit the right chords soon.