While the economic effects of COVID-19 continue to unfurl across the globe, the government of South Africa is planning to funnel ZAR 2.3 ($133 billion) over the next decade in an effort to stimulate the local economy, Bloomberg reports.
“We have placed infrastructure at the center of the stimulus our economy needs to achieve a sustainable recovery,” said president Cyril Ramaphosa at a recent conference, where he announced the spending plan. “In the long run, infrastructure investment increases the capacity of the economy, reducing the cost of transport and the capacity and reliability of key services like electricity and municipal services.”
The plan has already secured backing from development finance institutions.
South Africa has a relatively healthy network of national economic infrastructure; however, there are still some concerns that the state doesn’t have the institutional or financial capability to implement the investment plans neede
