Category: MIL-OSI

South Africa has secured a US$150 million development policy loan agreement from the OPEC Fund for International Development (OPEC Fund), the National Treasury has announced.

The loan is aimed at “supporting critical structural reforms to improve the efficiency, resilience, and sustainability of the country’s infrastructure services”.

“This marks the first loan agreement between the Government of South Africa and the OPEC Fund and represents an important partnership in addressing South Africa’s pressing economic challenges of low growth and high unemployment. 

“The loan will support government’s ongoing reform programme aimed at unlocking infrastructure bottlenecks, particularly in the energy and freight transport sectors, which are critical for enabling inclusive economic growth, improving service delivery and fostering job creation,” the department said in a statement.

The financing terms of the OPEC Fund loan are as follows:

• Nominal amount: US$150 million
• Maturity: 6 years with a 2-year-grace period
• Interest rate: 6-month Secured Overnight Financing Rate, plus 1.25%

“The financing terms of the loan are aligned with the National Treasury’s financing strategy, which seeks to diversify funding sources, secure cost effecting financing and minimise increases in debt service costs. 

“The loan provides favourable pricing and flexible repayment terms compared to conventional market funding.

“The National Treasury welcomes this partnership and expresses its appreciation for the institution’s support towards South Africa’s development objectives and infrastructure reform agenda,” Treasury said. – SAnews.gov.za

 

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Officials of the Department of Correctional Services conducted 1 406 raids at facilities across the country, leading to the confiscation of some 37 500 cellphones and contraband.

This was revealed by Correctional Services Minister, Dr Pieter Groenewald, during the tabling of the department’s Budget Vote in Parliament.

“During the last budget debate, I committed to more unannounced visits and raids, and we have met that promise.

“In the previous Budget Vote, I announced that 466 raids had been conducted. From then, we have significantly expanded our efforts, increasing the number of raids to 1 406 – a 200% increase. This resulted in the confiscation of more than 37 500 cell phones and other contraband.

“During the December/January holiday period alone, officials carried out searches across correctional facilities nationwide, confiscating over 8000 cell phones, R102 700 in cash, and numerous other illegal items. Remarkably, there were no escapes during Operation Vala,” the minister said.

Groenewald dismissed notions that the raids showed “operational failures” in the system, emphasising that results “serve as evidence of a more aggressive security strategy”.

“The large-scale confiscations and frequent raids demonstrate our increased control over internal threats. Let me be clear: we are effectively purging our prisons of illegal activities. Those involved in smuggling should understand their days are numbered.

“Failure to confront those who betray their duties endangers the many honourable officials working in dangerous conditions. Officials committed to integrity, who stand firm against criminal organisations within our facilities, often face threats, intimidation, or violence.

“It is essential to act swiftly and decisively against corruption to safeguard these individuals and to reaffirm trust in our institutions,” he stated.

A strict zero-tolerance policy regarding the use of cellphones in facilities will now be enforced within the coming year.

“This will involve transitioning to two-way radios for internal communication. The policy will be initially implemented in select locations and expanded to all facilities,” the minister announced.

Staying on the officials themselves, Groenewald emphasised the department’s “zero-tolerance approach against officials who undermine the Department’s integrity”.

“Discipline, accountability, and ethical conduct are non-negotiable.

“A total of 2 388 officials were subjected to disciplinary hearings during the reporting period, of which 2 138 cases have been finalised. This reflects progress in improving the efficiency of disciplinary processes and reinforcing a culture of accountability within the department. 

“Of the 2 388 cases, 137 officials were involved in contraband-related misconduct,” he said.

The Minister acknowledged that the department is facing challenges but vowed to continue to “fortify the Department, reaffirm our constitutional obligations, and uphold justice throughout South Africa”.

“Each day presents a fresh opportunity to restore, improve, and create hope for a future that is safe, peaceful, and prosperous. 

“The challenges before us are undeniable. Our system is under strain. But we will continue to deliver on our mandate as the Department of Correctional Services.

“I want to thank the Deputy Minister, my office staff, the National Commissioner and his team, and every official in the Department for their hard work and dedication in contributing to a safer South Africa for all,” Groenewald concluded. – SAnews.gov.za

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The Department of Correctional Services will continue pursuing its self-sufficiency model in the face of R683.4 million budget reductions over the current Medium-Term Expenditure Framework.

This according to Correctional Services Minister, Dr Pieter Groenewald, who tabled the department’s Budget Vote in Parliament on Wednesday.

The department’s budget this year stands at some R30.939 billion, rising to R32.8 billion in 2028/29.

“If there is one area where resilience is most evident, it is in our drive towards self-sufficiency and sustainability.

“Faced with rising costs and limited resources, the department has expanded agricultural production, workshops, and internal manufacturing capabilities. These are not only cost-saving measures but also rehabilitation tools that equip offenders with practical skills and restore a sense of purpose,” Groenewald said.

The department has opened 12 bakeries at facilities with a 13^th bakery expected to be operational in Qalakabusha this financial year.

The total savings on bread as a result of the bakeries reached R77.1 million in the 2025/26 financial year.

“From farms producing vegetables, meat, and dairy, to workshops manufacturing uniforms, furniture, and essential goods, the department is steadily reducing its reliance on external procurement while enhancing offender development.

“From April 2025 to February 2026, the Witbank Textile Workshop manufactured 40 869 items for officials’ uniforms, an increase of 13 047 items compared with the previous financial year.

“In the 2025/26 financial year, savings of R125 million were realised through internally produced agricultural commodities,” the Minister said.

The department is also supplying furniture to other departments.

“During 2025/26, the value of production workshop orders from client departments was R101 700, as at the end of February 2026, which included the Departments of Water and Sanitation, Defence, Public Works and Infrastructure, Justice and Constitutional Development, Office of the Inspecting Judge and the State Information and Technology Agency.

“This is inadequate, and therefore, I am once again formally extending the invitation to other government departments to consider fulfilling their furniture and related supply needs through the Department of Correctional Services.

“We are currently engaging to expand on the MOU with the Department of Basic Education, specifically on the production and repair of school desks,” Groenewald said.

Honouring those in service

The Minister told Parliament that the department has reintroduced medals for faithful long service of 10, 20, 30, and 40 years within the department in a move to restore “tradition, honouring excellence, and strengthening our organisational culture”.

“At the centre of this system are the men and women who serve in Correctional Services. 

“These medals are awarded to officials who have dedicated years of service to the Department, an extraordinary testament to loyalty, discipline, and commitment,” Groenewald said.

Some 187 qualifying officials have been honoured for 40 years of service.

New insignia has also been introduced for members of the Senior Management Service to reflect “both leadership authority and its integral role within the Justice, Crime Prevention and Security cluster.”

Groenewald reflected on the interactions he has had with the heads of correctional centres nationwide.

“These interactions went beyond administrative matters; they were a deliberate reaffirmation of the vital leadership role these officials hold within the broader correctional framework.

“I further directed the National Commissioner to review the policy on the training of all officials, more specifically, officials in critical positions, such as Heads of Centres, who, among others, will be subject to annual examinations to ensure that our centres and their leadership comply with all legislative requirements.

“Efficient centre-level operations are essential for a credible and effective correctional system,” the Minister said. – SAnews.gov.za

 

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The opening of the iSchoolAfrica Coding and Robotics Centre at Igugu Primary School in Soweto, Gauteng, marks a decisive step toward closing South Africa’s digital divide, ensuring that learners in township schools are no longer left behind in the rapidly evolving world of technology.

Higher Education and Training Deputy Minister, Dr Nomusa Dube-Ncube, joined iStore Education and iSchoolAfrica at the launch of the centre on Tuesday, 12 May 2026.

The initiative is aimed at expanding access to coding and robotics in township communities while bridging longstanding inequalities in digital education.

The launch aligns with South Africa’s broader Fourth Industrial Revolution (4IR) agenda, which seeks to accelerate the integration of technology in education, particularly in under-resourced schools.

Delivering the keynote address, Dube-Ncube described the moment as more than the unveiling of a new facility, but rather a continuation of a historic struggle, one that has shifted from access to basic education to access to the digital future.

She reflected on how previous generations fought for the right to learn, noting that today’s challenge is to ensure that all learners, regardless of their background, are equipped to participate meaningfully in the digital age.

“In 1976, the struggle was for the freedom to choose your language of instruction. In 2026, the struggle is for the freedom to choose your future,” she said.

“Coding is a language. Robotics is a language. Artificial Intelligence is a language. These are the dialects of the Fourth Industrial Revolution.”

Levelling the playing field

For years, access to digital tools and coding education has been concentrated in well-resourced schools, where learners benefit from devices, reliable connectivity and advanced learning environments, compared to many township schools which has limited access to such opportunities.

The new centre in Soweto directly challenges this imbalance.

Describing the facility as more than just a computer lab, the Deputy Minister called it “a launchpad” for future innovation and opportunity.

“When we bring coding and robotics into Igugu Primary School in Mofolo South, we are breaking down a wall. We are saying that geography is not destiny, a postal code should not determine a child’s potential, and that being born in a township is not a limitation- it is a launching pad,” she said.

She emphasised that the gap between learners in under-resourced communities and those in better-funded schools is not one of ability, but of access.

Pathways beyond the classroom

The Deputy Minister noted that initiatives like this extend far beyond basic education.

She said with support from the National Student Financial Aid Scheme (NSFAS), learners who develop an interest in technology can pursue further studies in fields such as software development, robotics engineering, and data science.

Government, she said, is working to ensure that financial constraints do not prevent talented young people from advancing in these high-demand sectors.

Preparing for the future economy

The centre also forms part of a broader national effort to prepare young people for industries driven by technological innovation, including artificial intelligence, renewable energy, electric vehicles, esports, and drone technology.

By exposing learners to coding and robotics early, the Deputy Minister said township schools are being brought into alignment with the demands of a modern economy increasingly shaped by digital skills. – SAnews.gov.za
 

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The National Treasury’s latest financial management report for municipalities has revealed that non-compliance with Supply Chain Management (SCM) regulations remains a persistent challenge in local government.

According to the National Treasury, many municipalities are failing to update their SCM policies in line with the latest regulations, despite recommendations from the Auditor-General of South Africa (AGSA).

“Municipalities either fail to update their SCM policies to ensure compliance with the latest regulations or have not developed them at all,” National Treasury said on Wednesday.

National Treasury added that although municipalities are required to review their SCM processes and implement corrective measures to address issues identified by the AGSA during audits, many are not doing so effectively.

“This has resulted in recurring irregularities, including irregular and wasteful expenditure,” National Treasury said.

The national Unauthorised Irregular Fruitless and Wasteful Expenditure (UIFWE) balance increased from R264.10 billion in 2023/2024 to R268.13 billion in 2024/2025.

This was driven by systemic failures in internal controls and weak consequence management. 

“Irregular expenditure remains the most significant contributor to the UIFWE balances, reflecting widespread non–compliance with procurement and financial regulations.

“Many municipalities lack robust systems to ensure the timely implementation of council resolutions on the recoverability or write-off of UIFWE,” National Treasury said.

The department has also observed high levels of write-offs rather than recoveries of the UIFWE across municipalities, which is indicative of the failure by municipalities to hold individuals accountable for financial misconduct.

These findings are contained in the Municipal Finance Management Act (MFMA) compliance report released by the National Treasury for the 2024/25 financial year. 

“The number of municipalities across the country with established disciplinary boards increased to 178 municipalities in the 2024/2025 financial year, as required by the Municipal Regulations on Financial Misconduct Procedures and Criminal Proceedings.

 “However, of concern is the decline in the reporting of financial misconduct allegations in municipalities, the number of financial misconduct cases investigated, and the number of officials against whom disciplinary actions were taken in relation to financial misconduct,” National Treasury said.

The regressions may be an indication of various negative factors, including delays in instituting and or proceeding with disciplinary cases, weak enforcement of policies within municipalities and possibly a lack of understanding of disciplinary processes by municipalities.

The number of municipalities with updated cost containment policies increased from 161 municipalities in 2023/2024 to 170 municipalities in 2024/2025. 

Municipalities collectively achieved R5.06 billion in cost containment savings during 2024/2025, primarily through reductions in consultancy and other related expenditure. 

However, the National Treasury raised concerns that overspending on overtime poses a significant fiscal risk and highlights weaknesses in payroll management and internal controls.

“There are still a significant number of municipalities that are heavily reliant on consultants, particularly in the areas of asset management, annual financial statements (AFS) preparation, audit support and estimates of landfill site provisions,” National Treasury said.

A total of 127 municipalities (49%) have systems of delegations (SODs) in place in the 2024/2025 financial year, signed by both the delegator and delegate.

This is a decrease from 130 municipalities in 2023/2024. 

SODs are crucial for maintaining good governance, financial accountability, and effective service delivery. 

Approximately 84% (82% in 2023/2024) of the critical senior management positions were filled. 

The highest number of vacancies nationally pertained to the positions of Chief Risk Officers, Chief Audit Executives and Chief Financial Officers. –SAnews.gov.za

 

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Transnet says it has recorded sustained operational improvements across its port system, with vessel traffic increasing by 9% year-on-year – a strong indicator of the organisation’s ongoing recovery and growing operational momentum.

“The overall strong growth performance signal improved domestic economic landscape, including gains from the Transnet recovery initiatives and improvements in port and rail efficiencies,” Transnet Group Chief Executive, Michelle Phillips, said on Tuesday in a statement.

Transnet National Ports Authority (TNPA) experienced 8 630 vessel arrivals for the 2025/26 financial year, increasing from 7 912 recorded in the previous year (2024/25). 

The state-owned freight logistics company described the milestone as significant in advancing its Reinvent for Growth strategy, which focuses on restoring operational efficiency and improving port performance to strengthen South Africa’s position as a competitive global gateway.

“The increase in vessel calls reflects an improved operational coordination across the port system, driven by TNPA’s closer collaboration with terminal operators and improved port efficiencies,” the company said.

Cargo volume throughput at TNPA’s eight commercial seaports increased by 4.2% to approximately 304 million tonnes, representing the strongest growth since the 2011/12 financial year. 

This performance saw three of the five main cargo type categories registering strong growth, while break bulk and liquid bulk segments are showing signs of gradual recovery.

Automotive volumes led the recovery with a double-digit growth of 13.3%, with the Port of Durban exceeding its throughput targets. 

Container volumes also exhibited strong growth, rising by 7.1% and surpassing annual budget expectations by 3.6%, largely boosted by a 22% increase in volumes from the citrus fruits. 

Dry bulk cargo volumes increased by 4.2%, driven mainly by export demand in chrome ore, magnetite and manganese commodities.

“This growth in vessel activity and cargo volumes signals that Transnet’s interventions are yielding measurable results. 

“Alongside this welcomed volume increase, Transnet remains focused on sustaining operational improvements, accelerating port infrastructure investment, and implementing structural reforms to support trade growth and cargo movement through South Africa’s ports,” Phillips said.

Key infrastructure projects across the port system are gaining momentum to support future demand and improve operational resilience. 

At the Port of Durban, expansion plans are aimed at significantly increasing container handling capacity, while upgrades at the Port of Cape Town, including container stack improvements and truck staging facilities, are expected to improve efficiency and reduce congestion. –SAnews.gov.za

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President Cyril Ramaphosa has positioned South Africa as a trusted and competitive global investment destination, while reaffirming government’s commitment to infrastructure-led growth, job creation and economic reform.

Delivering the keynote address at the South Africa Infrastructure Investment Summit in Cape Town on Wednesday, President Ramaphosa said the country is ready to partner with global investors to build modern, resilient infrastructure that supports inclusive growth and development. 

“Because it is the building block of every modern economy on earth, infrastructure is the next great frontier of investment,” the President said.  

The summit, convened by Global Infrastructure Partners and BlackRock, brought together government leaders, investors and business representatives to explore opportunities for infrastructure investment in South Africa and the African continent.

President Ramaphosa said infrastructure development in Africa presents one of the world’s largest untapped investment opportunities, noting that private capital and expertise are critical to accelerating development on the continent.

“It is in this context that institutional investors are increasingly looking to South Africa as a strategic, long-term investment destination,” he said.

The President highlighted South Africa’s sophisticated financial sector, deep capital markets, industrial capacity, renewable energy potential and digital infrastructure as some of the country’s competitive advantages.

He said government remains focused on creating a predictable and stable policy environment to encourage investor confidence and support long-term growth. 

“We are firmly committed to sustaining a stable macroeconomic framework, understanding that it is essential for faster inclusive growth and job creation,” President Ramaphosa said.

He noted that government’s structural reform agenda, driven through Operation Vulindlela, continues to improve the efficiency of network industries, expand private sector participation and strengthen public-private collaboration.

“Through Operation Vulindlela we have reduced regulatory bottlenecks, expanded private sector participation, improved the efficiency of our infrastructure pipeline and strengthened public-private collaboration,” the President said.

President Ramaphosa said government is accelerating project preparation and execution through strategic public-private partnerships and blended finance models aimed at unlocking investment and scaling infrastructure delivery.

Through the Infrastructure Fund, government has committed R100 billion in fiscal support over 10 years to crowd in private capital into strategic infrastructure projects.

“Our goal is to mobilise public-private partnerships to deliver these projects, recognising that the scale of our ambition requires the full participation of private capital, development finance institutions and institutional investors,” he said.

The President announced that South Africa will spend more than R1 trillion on infrastructure over the next three years across all spheres of government, public entities and state-owned enterprises.

This includes investments in ports, freight rail, roads, electricity generation and transmission infrastructure.

President Ramaphosa said water and energy infrastructure remain immediate national priorities, particularly as government works to improve efficiency, lower costs and strengthen service delivery.

Over the past two years, government has implemented reforms aimed at stabilising the country’s electricity system and expanding generation capacity.

“A debilitating energy crisis is largely behind us. We have been able to improve the performance of our coal-fired power plants, expand private generation capacity and stabilise the system,” he said.

Government is also expanding transmission infrastructure, accelerating renewable energy deployment and advancing gas-to-power solutions as part of efforts to build a more competitive and sustainable energy market.

The President said South Africa’s improving economic outlook and reform momentum continue to strengthen global confidence in the country.

“We are now seeing signs of recovery. We have recorded four consecutive quarters of growth into early 2026, although we are yet to see this translate into a meaningful rise in employment.

“Inflation is stable. Our sovereign rating has been upgraded, and last year we were removed from the Financial Action Task Force grey list,” the President said.

He added that South Africa had secured R1.5 trillion in investment commitments during the first five years of the country’s investment drive, while the recent South Africa Investment Conference secured pledges worth R890 billion. 

“This has encouraged us to set a new investment goal of R3 trillion – or $180 billion – over the next five years,” he said.

Calling for stronger partnerships between government and investors, President Ramaphosa said infrastructure development would play a critical role in driving economic growth, industrial expansion and job creation. 

“We are not merely building infrastructure. We are building a new growth path for South Africa, one defined by resilience, competitiveness and shared prosperity.

“Together, we can convert ambition into action and action into lasting impact,” the President said. – SAnews.gov.za

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While South Africa has made significant progress in connecting citizens to the internet, Communications and Digital Technologies Minister Solly Malatsi says more must be done to unlock the full potential of connectivity.

According to the recently released Digital Infrastructure Investment Study commissioned by the Development Bank of South Africa, the true connectivity access gap is now only 2.2% of all South African households.

“South Africa has made commendable progress in the delivery of digital infrastructure. But – there is a critical question we must ask ourselves: is access itself enough? The answer to that, fellow South Africans, is clear: no, it is not enough,” the Minister said on Tuesday in Parliament, delivering the department’s Budget Vote.

Malatsi stressed that if South Africa is to fully leverage the benefits of connectivity, access must be meaningful and not merely universal.

“To this end, low-earth orbit (LEO) satellite services also form part of South Africa’s digital future. Rather than wait a decade to develop domestic LEO capacity, we must create conditions for international operators to serve our people now, in a manner that supports national interests and regulatory compliance.

“Our responsibility is to ensure that new technologies expand inclusion rather than deepen inequality,” the Minister said.

The Minister highlighted that the digital economy is not only a standalone contributor to economic growth but also a key enabler of productivity across all sectors of the economy. 

He noted that government’s decision to remove the ad valorem excise duty on entry-level smartphones had already yielded positive results.

“Last year, government removed the ad valorem excise duty on entry-level smartphones. The Department of Communications and Digital Technologies partnered with the GSMA to measure the impact of this tax break: in the nine months before the tax removal, month-on-month entry-level smartphone sales declined by 7.9% per month.

“Between April and December of 2025, this decline was reversed, and month-on-month sales in this segment grew by 3.7%, with a clear indication that people can now afford to substitute their feature phones for smartphones,” Malatsi said.

He added that the department will use the study’s findings to engage the National Treasury on additional fiscal measures to improve access to digital devices.

According to the Minister, the department’s expenditure allocation for the 2026/2027 financial year is R2.549 billion.

Of that, R1.749 billion is transferred to portfolio entities.

The Independent Communications Authority of South Africa (ICASA) received R505million, the Film and Publications Board received R112 million, and the South African Post Office has been allocated R595 million. 

The South African Broadcasting Corporation (SABC) received R234 million.

“The SABC has, for the second consecutive year, achieved an unqualified audit opinion, a remarkable improvement after years of governance instability.

“The funding model study has been completed, and we are currently consulting with National Treasury on the most suitable model to ensure that the SABC is empowered to balance its commercial operations and public broadcasting mandate,” the Minister said.

Malatsi also revealed that eight cyber labs were launched during the 2025/26 financial year in partnership with departmental entities and private sector stakeholders to support digital skills development among young people.

A further 10 cyber labs are expected to be established during the current financial year. –SAnews.gov.za

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The Special Investigating Unit (SIU) has welcomed an order of the Special Tribunal to freeze a KwaZulu-Natal businesswoman’s assets linked to the abuse of the Unemployment Insurance Fund Temporary Employee Relief Scheme (UIF TERS). 

The woman, Yolanda Nombuso Mgobo, allegedly received more than R18 million from the scheme during the COVID-19 pandemic.

The SIU explained that Mgobo did not personally submit claims, however, her company received funds from other companies including Ezogu Trading (Pty) Ltd, Nakomang Trading Enterprise CC, Ezikamshalaza Trading CC, Senzisipho (Pty) Ltd, and Amakhosana Contractors (Pty) Ltd which had submitted claims.

These claims were found to be irregular, including the use of a ghost employee database to access relief funds, which constitutes a criminal offence.

“The SIU investigation uncovered that Mgobo received payments totalling R18 632 335 in both her personal and business accounts.

“The SIU’s investigation further revealed that Mgobo utilised these proceeds for personal benefit and that of her life partner, Mr Hlalanathi Hopewell Mbangi, between 2020 and 2025.

“The SIU’s investigation revealed that between 2020 and 2023, Nakomang Trading Enterprise received approximately R19.2 million from UIF, Ezikamshalaza Trading received R5.09 million, and Ezogu Trading received about R8.73 million.

“The SIU’s probe revealed that between January and October 2022, Ezogu Trading made multiple payments to Mgobo totalling approximately R1.2 million. Between 6 April 2022 and 18 May 2023, further payments were made by Ezikamshalaza Trading to Mgobo as part of the broader flow of funds, with the last payment made on 23 May 2023 being R720 000. By 2023, Ezikamshalaza Trading had paid a total of R1 698 720 to Mgobo,” the SIU said in a statement.

Assets which have been preserved are:

• A Hyundai Tucson.
• A Ford Ranger transferred from Mgobo to her partner, Mbangi.
• A Toyota Corolla.
• A property in Knightswood, Scottburgh, KwaZulu-Natal, valued at R870 000.
• A property in Uvongo, along KwaZulu-Natal’s South Coast, valued at R845 000.
• Two additional properties in Scottburgh, each valued at approximately R1 million.

The Special Tribunal’s order prohibits Mgobo, Mbangi, and Yoluleko Trading from selling, transferring, hiding, or disposing of specific vehicles and properties listed in the order while the investigation and hearings are ongoing.

“This means that the assets must remain untouched until the Special Tribunal decides whether the agreement between the implicated parties and the department was unlawful.

“Although the assets are frozen, the individuals must continue to pay all associated costs related to the properties and vehicles, including levies, insurance, vehicle licensing, and any other related expenses,” the statement read.

The matter will be referred to the National Prosecuting Authority for a decision on criminal prosecution.

“The referral will cover charges of fraud and money laundering against Ezikamshalaza Trading, its members or directors, and all individuals or entities involved in enabling the unlawful activities.

“The SIU remains committed to recovering public funds lost through corruption and maladministration, and to holding accountable those who sought to exploit relief measures intended to support vulnerable workers and businesses during the pandemic,” the statement concluded. – SAnews.gov.za

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