South Africa will spend about 31 billion rand (US$1.87 billion) on rehabilitating, expanding and maintaining its national road network during the 2026/27 fiscal year, as the government steps up efforts to improve transport infrastructure and support economic growth.
Transport Minister Barbara Creecy announced the allocation during her department’s budget presentation in Parliament on Tuesday, saying the funding would be channelled through the South African National Roads Agency (SANRAL).
The investment will finance major projects across the country, including upgrades to the Gauteng North highway, construction of bridges along the N2 Wild Coast route and continued development of the Moloto Road Corridor linking Mpumalanga province to Pretoria.
Authorities say the projects are expected to improve road safety, ease congestion and create more than 35,000 jobs while supporting over 2,000 small businesses.
“Investment in public infrastructure projects is a significant catalyst for job creation and economic development,” Creecy told lawmakers.
The programme forms part of broader government efforts to address infrastructure bottlenecks that have weighed on South Africa’s economy for years, particularly in transport and logistics.
South Africa has one of Africa’s largest road systems, covering around 750,000 kilometres. While national highways are generally maintained at higher standards, many provincial and rural roads have deteriorated because of underinvestment, weak maintenance and budget constraints.
The poor condition of secondary roads has increased transport costs for businesses and households, while also affecting trade, tourism and agricultural activity in several regions.
Creecy warned that financial and technical challenges at provincial and municipal level continue to place pressure on SANRAL.
“Since 2013, provincial governments have transferred 13,000 kilometres of provincial roads to SANRAL for management and maintenance,” she said. “This is not a sustainable long-term strategy and will ultimately impact SANRAL’s ability to maintain the national road network without introducing widespread tolling.”
Analysts say improving transport infrastructure will be critical for supporting economic recovery in South Africa, where growth has averaged below 1% annually over the past decade.
Mining and industrial companies have repeatedly cited deteriorating roads, rail congestion and port inefficiencies as key obstacles to investment and competitiveness.
The latest allocation comes as the government seeks to mobilise additional financing for infrastructure development. In March, the World Bank approved a Credit Guarantee Vehicle designed to help South Africa attract up to $10 billion in private sector investment for transport, electricity, water and social infrastructure projects.
Authorities hope improved infrastructure spending will stimulate employment and strengthen economic activity at a time when the country continues to face high unemployment, weak growth and fiscal pressures.
The government says the road upgrades are also intended to improve regional connectivity and support long-term development by linking communities more efficiently to economic centres, schools, healthcare facilities and markets.