South Africa’s Reform Engine Speeds Up

How “Operation Vulindlela” is unlocking growth, investment and youth opportunity

South Africa’s reform agenda has gained fresh momentum in 2025 as the government steps up implementation of structural changes under Operation Vulindlela.

Key Take-aways

The second quarter of the 2025/26 year shows that 44% of reforms are on schedule and 40% are progressing albeit delayed

Energy sector: Preparations to create a competitive wholesale electricity market are advanced. Over 72 GW of solar, wind and battery projects are at advanced stages

Logistics & freight: Eleven new private train operating companies have been granted slots on 41 routes, signalling stronger private sector participation in rail and port infrastructure.

Digital & visas: Backlogs in visa processing have been cleared, and digital infrastructure reforms are progressing, supporting youth employment and connectivity

Municipal & local government reforms (Phase II) now include spatial integration and housing, adding more depth to the reform agenda

Why it matters

For South Africa to raise its growth trajectory, these network-industry reforms are critical. Reliability of electricity, efficient logistics, affordable data, and streamlined visa and migration processes all play a part in boosting investor confidence, generating employment (particularly for youth), and enabling the private sector to scale. By unlocking barriers in these foundational sectors, the economy is positioned for a more inclusive bounce-back.

Youth & Opportunity

A significant outcome of Operation Vulindlela lies in its potential to enhance youth employment. By opening new sectors, improving infrastructure, and enabling digital access, young people gain more opportunities — whether in clean energy, rail logistics, digital services or new-economy jobs. That means more jobs and more hope.

Momentum in Motion

While progress is tangible, the path is complex. Some major areas — such as unbundling key state-owned enterprises and deep local government reform — face slower execution.