The African National Congress (ANC) has unveiled a ten-point economic action plan aimed at resuscitating South Africa’s struggling economy, with a central pledge to raise the country’s growth rate to 3%.
The plan, resolved during a special National Executive Committee meeting, focuses on critical interventions in the country’s most troubled network industries. Key among the commitments are concrete steps to increase the capacity of Eskom’s transmission lines and Transnet’s freight rail network.
In a significant move, ANC President Cyril Ramaphosa announced that a new “war-room” will be established within the Presidency to monitor and drive the implementation of these growth-boosting efforts.
The announcement, however, has been met with scrutiny from economic analysts who question the plan’s novelty and credibility.
Chartered Accountant, academic, and activist Khaya Sithole, providing analysis, expressed deep skepticism. He identified a fundamental flaw in the ANC’s approach, stating that the party has “not made a good habit out of explaining to us what their understanding of what the key economic bottlenecks have been over the past 10 to 15 years.”
Sithole challenged the stated 3% growth target, noting “there’s no science behind it” and that it risks being perceived as a “pre-election gimmick” without a clear explanation of the underlying problems and the specific actions required to solve them.
Regarding the proposed “war-room,” Sithole acknowledged the potential benefits of an agile structure that can bypass slow government bureaucracy. He explained that such a unit could handpick experts to synthesize issues and create a master plan, directly instructing cabinet on urgent actions.
However, he raised a critical concern about transparency, pointing out that these structures “tend to be very opaque and invisible.” He emphasized that without public updates on the war-room’s progress and cabinet deliberations, it risks becoming “yet another gimmick.”
When asked if this plan represented a fundamental shift from previous initiatives like the Economic Reconstruction and Recovery Plan, Sithole was cautious. He stated the only new element appears to be the war-room itself, the success of which hinges on a commitment to accountability that has been lacking in the past.
On the plan’s focus areas—strengthening the electricity grid, accelerating infrastructure, and building state capacity—Sithole agreed they are a “good start.” He conceded that prioritizing key enablers like energy and logistics is correct, as they have wide-reaching effects across the entire economy, from tourism to agriculture.
The analyst concluded that while the prioritization is sound, the plan’s ultimate failure or success will not be determined by its content on paper, but by the political will and implementation capacity behind it—a test the government has historically struggled to pass.