BLSA

Bulletin

BLSA Bulletin   |  17th Edition  

Introduction

It is my pleasure to present this latest edition of our BLSA bulletin, offering a comprehensive overview of the critical policy, regulatory, and economic developments shaping South Africa’s business landscape. Our work, in the public and private sectors, continues to focus on driving the structural reforms essential for sustainable growth, competitiveness, and inclusion.

I am pleased to report on the successful launch of the BLSA Reform Tracker which will be instrumental in monitoring progress of reforms across governance, the economy, and criminal justice, ensuring accountability and transparency.

We share B20 Sherpa Cas Coovadia’s high level account of recent milestones from the B20 process, where the business community handed over the policy recommendations from the eight Taskforces to the DIRCO Minister on 4 September.  These reflect  our shared priorities and South Africa’s unique context.

The bulletin also presents the latest updates on Operation Vulindlela, highlighting both the advances and ongoing challenges in key structural reform areas. Of particular significance is the progress in visa reform, with the Department of Home Affairs expanding the Trusted Employer Scheme and preparing to roll out the Electronic Travel Authorisation system. These measures are designed to streamline processes and enhance South Africa’s global connectivity, especially as we approach the G20 Summit.

We spotlight the national digital transformation agenda, including the launch of the government’s Digital Transformation Roadmap. This ambitious plan lays the foundation for modernising public services and broadening access to digital infrastructure, supporting government, business, and society at large.

On the logistics front, the allocation of rail slots to new operators is an encouraging step toward revitalising our freight network and unlocking significant investment in rail infrastructure. These developments are the result of constructive collaboration through the National Logistics Crisis Committee and speak to the positive momentum we are building together.

Sincerely

Busisiwe Mavuso
CEO, BLSA

BACK TO INDEX

Strategy and Reforms Update

BLSA/BUSA programmes

B20 Update

On 4 September, the recommendations of B20 South Africa were presented to the G20 Presidency and the global business community. Cas Coovadia, B20 South Africa Sherpa, described the handover as “a turning point for Africa and the Global South,” saying that the recommendations were evidence-based, backed by key performance indicators and ready for implementation.

He urged the private sector to present financing models, data and demonstration projects that can bring the proposals to life, stressing that integrity, transparency and strong governance are essential.

Developed across eight task forces, the proposals are structured around five strategic themes and three enabling mechanisms.  The high-level recommendations are as follows:

Digital Transformation

  • Expanding inclusive infrastructure
  • Embedding digital and AI education
  • Strengthening ethical governance of emerging technologies
  • Advancing interoperable digital public infrastructure.

Employment and Education

  • Affordable early childhood education
  • Youth employment pathways
  • Removing barriers to female participation
  • Re-skilling, upskilling, and adapting to digital platform work

Energy Mix and Just Transition

  • Scaling transition finance
  • Localising clean energy manufacturing
  • Building skills for future energy jobs
  • Investing in resilient grids and infrastructure.

Finance and Infrastructure

  • Stronger early-stage project preparation
  • More blended finance and partnerships
  • Greater use of data for transparency
  • Improving cross-border financial flows so infrastructure investment supports sustainable,
  • inclusive development.

Industrial Transformation and Innovation

  • Re-energising manufacturing as a driver of resilience
  • Industrial strategies co-created with business
  • Expanded SME competitiveness
  • Deeper regional trade integration
  • Adoption of green and digital technologies, supported by finance, infrastructure, and institutional coordination.

Integrity and Compliance

  • Harnessing technology for anti-corruption
  • Strengthening transparency in sustainability finance through global standards
  • Expanding collective action initiatives

Sustainable Food Systems and Agriculture

  • Resilient agrifood supply chains
  • Expanded access to technologies and finance for farmers
  • Inclusive livelihoods for women and youth.
  • Integrating trade into food security strategies
  • Accelerating sustainable practices to achieve climate-resilient, productive agriculture

Trade and Investment

  • Restoring stability in multilateral trade
  • Advancing Africa’s competitiveness through AfCFTA integration
  • Embedding climate responsiveness in trade rules.

For access to the detailed policy recommendations, visit  https://www.b20southafrica.org/final-task-force-papers

BLSA Reform Tracker

On 14 and 15 August 2025, BLSA launched its Reform Tracker in Johannesburg and Cape Town respectively.  Minister in the Presidency responsible for Planning, Monitoring and Evaluation Maropene Ramokgopa and Deputy Minister of Finance Ashor Sarupen both spoke at the Johannesburg event, while Deputy Minister Sarupen and Western Cape Premier Alan Winde delivered addresses at the Cape Town launch. The launch of the tracker was extremely well received and extensively covered by local and international media. 

The tracker is designed to meticulously assess progress towards reforms within the overarching sectors of governance, economy, and criminal justice.  Reviews will be published quarterly.

Structural Reforms

Operation Vulindlela progress report

OV released a quarterly progress report which highlights the scope of ongoing work across key reform areas (existing and new). While significant efforts are underway, only a small portion has been completed so far. Notably, the visa system is at an advanced stage.

Trusted Employer Scheme and Electronic Travel Authorisation rollout

The Department of Home Affairs launched the second round of the Trusted Employer Scheme (TES) in July 2025, allowing interested large companies to apply for TES status. This forms part of visa reforms and is aligned with OV’s agenda. The TES intends to streamline visa processing for companies employing foreign skilled nationals with reduced requirements for work visa applications and improved processing times.

The department also aims to roll out the Electronic Travel Authorisation (ETA) system by September to manage entry for tourists and short-term visitors at airports and other points of entry to streamline border processes and reduce congestion, as well as to enhance security. The ETA will first be rolled out at OR Tambo and Cape Town international airports ahead of the G20 leaders’ Summit. Over time, it will be rolled out at all international ports of entry. The tech is aligned with the digital transformation infrastructure roadmap.

Launch of Roadmap for the Digital Transformation of the South African Government

In May, Communications and Digital Technologies Minister, Solly Malatsi, launched the Roadmap for the Digital Transformation of the South African Government, aimed at accelerating digital adoption within government – one of OV’s new focus areas in Phase II.  

This initiative aims to modernise government services by investing in digital public infrastructure, streamlining processes, and improving resource allocation. The strategy is built on four pillars:

  • Digital identity: A secure digital ID system lets citizens safely access services and store credentials online.
  • Data exchange: Real-time data sharing between government departments to improve coordination and service delivery.
  • Digital payments: A universal, secure payment system for government transactions, including direct social grant deposits into mobile wallets or bank accounts.
  • Trusted online platform: Unifying government sites and services into a single digital platform to reduce costs and errors.

Phase I (2025-2027) will focus on integrating social protection with learning and employment, focusing on vulnerable groups. Phase II (2028-2030) will focus on expanding digital transformation to healthcare, education, and business services.

The Digital Service Unit under the presidency, led by Melvyn Lubega, will guide and support implementation.

Rail Reform

In August, Transport Minister Barbara Creecy allocated rail slots to 11 new train operating companies across 41 routes, as recommended by the business-government collaboration via the National Logistics Crisis Committee.  The new operators will move an estimated additional 20 million tonnes annually from 2026/27 and could unlock R100 billion in rolling stock investments toward the 2029 target of 250 million tonnes by rail.  BLSA continues to support various workstreams to implement the Freight Logistics Roadmap. 

Economic Policy

Draft Concept Paper on the Transformation Fund

In early May, the Department of Trade, Industry and Competition (dtic) and the National Empowerment Fund (NEF) hosted the Transformation Fund breakfast in which BLSA (represented by its CEO) was invited to comment on the proposed fund. Additionally, an internal process to consolidate inputs from members that informed a business position was finalised and was submitted to the dtic by end of May.

BLSA’s submission, now in the public domain, highlighted three key issues:

  • Concerns about governance and accountability in the fund’s institutional design
  • Lack of clarity regarding non-financial support and implementation mechanisms
  • The risk of duplicating existing transformation efforts without leveraging private sector experience.

Three key recommendations were made:

  • Establish a robust governance framework, including independent oversight and a Transformation Index.
  • Design flexible disbursement mechanisms aligned to sector masterplans.
  • Link Enterprise and Supplier Development (ESD) support to market access via procurement integration.

AfCFTA Digital Protocol Conference 2025

The 2025 African Continental Free Trade Area (AfCFTA) Digital Protocol Conference held in May focused on advancing digital integration across Africa’s trade ecosystems. Key discussions focused on harmonising e-commerce regulations, developing cross-border digital payments, and creating a unified customs framework.  Delegates emphasised the need to build interoperable digital infrastructure, such as blockchain-based trade platforms and AI-driven logistics, to improve supply chains and support intra-African trade.

The conference also proposed a draft protocol on data localisation and cybersecurity, aiming to build trust in digital markets. There were calls to bridge the digital divide through increased investment in broadband, digital skills, and SME e-commerce, while partnerships with private-sector tech giants and regional bodies such as the African Union were highlighted as critical to scaling solutions.   Notably, Afreximbank pledged funding for digital infrastructure projects in the continent’s landlocked and least-developed member states.

The AfCFTA continues to make progress despite ongoing challenges. Tariff liberalisation now covers 90% of goods, up from 85% in 2023, but non-tariff barriers and delays in ratifying updated protocols persist—particularly in East and Central Africa. Establishing the African Customs Union by end-2025 remains a goal, though analysts warn that real benefits will depend on robust enforcement and timely national implementation.

AfCFTA Private Sector Platform and National Implementation Committee

The AfCFTA Secretariat launched a Private Sector Platform in March 2025, designed to strengthen dialogue between the Secretariat and African businesses. The platform aims to support Micro, Small, Medium Enterprises (MSME) programmes, push for enabling policies, encourage trade and investment, and foster coordination among business support groups. BLSA actively participates to ensure private sector perspectives are reflected in AfCFTA policy.

As previously reported, BLSA accepted the dtic’s invitation to participate in the establishment of South Africa’s National Implementation Committee (NIC) on the AfCFTA. Since there have been no further developments since early 2025, this process is paused until further action from the department.

World Trade Organization (WTO) E-Commerce Moratorium: Business Dialogue with the dtic

BLSA has requested an engagement with the dtic to discuss the upcoming expiry of the WTO e-commerce moratorium, set for March 2026 at the 14th  Ministerial Conference. The moratorium, which has enabled duty-free digital trade since 1998, is crucial for the growth of South Africa’s digital economy—projected to contribute up to 20% of GDP by 2028.

If the moratorium lapses:

  • Costs of imported digital products and services may rise, driving inflation.
  • MSMEs could face reduced competitiveness and innovation.
  • Retaliatory tariffs could threaten South African digital exports.
  • The affordability of critical digital inputs for various sectors may decrease.

While the dtic has expressed concerns about maintaining policy flexibility, there is little evidence of economic impact assessments to support ending the moratorium.  BLSA’s aim of engagement is to ensure that business perspectives are considered in shaping South Africa’s position ahead of MC14 to ensure policies support digital inclusion, export growth and international collaboration.

WTO Public Forum 2025: Engagement and Key Focus Areas

The WTO Public Forum 2025 will be held from 17–18 September in Geneva under the theme “Enhance, Create and Preserve.” This annual event is a major global platform for dialogue on pressing global trade issues. A notable feature this year is the introduction of the new Trade Policy Hub to connect researchers and policy professionals and support the translation of evidence-based research into practical trade policy solutions.

Ahead of the forum, the WTO’s External Relations Division hosted three information sessions in May to guide participants on the event’s structure, theme, and panel submission process. South African e-commerce stakeholders are proposing a session on a Digital Product Identification (DPI) standard to ease market access for African digital goods. BLSA will monitor opportunities for engagement and alignment with member interests.

Social Policy

Employment Equity Sectoral Targets Update

Since 2018, BUSA and members have engaged with the Department of Employment and Labour on the Employment Equity Amendment Bill, especially regarding sector-specific numerical targets. Draft targets were published for public comment in 2023 and 2024, but the final targets were gazetted in April 2025.

Business stakeholders believe earlier consultations were premature and that the final targets do not reflect the diversity within sub-sectors. After publication, BUSA and its members (BLSA included) met with the Minister of Employment and Labour, Ms Nomakhosazana Meth, to voice concerns over the process and content of the targets. We requested withdrawal of the Regulations and Determination, a new consultation period, and the introduction of sub-sector-specific targets. BUSA also called for in-depth analysis over 5–10 years to ensure targets are practical and data-driven.

The Minister rejected these proposals, stating consultation had been extensive (120 days of public comment), and there was no need for sub-sectoral targets. She referenced the Commission for Employment Equity’s (CEE) ongoing analysis as sufficient and maintained that the targets are lawful, procedural, and in line with the Act’s objectives.

These developments may significantly affect BLSA members, particularly in sectors where broad targets do not reflect sub-sector realities. There is concern that impractical targets could undermine employment equity progress and increase compliance risks.

Low-cost Benefit Options and the NHI

A stakeholder dialogue on Low-cost Benefit Options (LCBOs) was to be held at NEDLAC on 17 July 2025 but was cancelled. LCBOs are simplified medical aid packages designed to extend affordable primary healthcare to low-income earners. Regulatory concerns – particularly around benefit adequacy and alignment with the National Health Insurance (NHI) framework – have historically limited their rollout.

This follows a report published by the Council for Medical Schemes (CMS) in February outlining design models and inviting public comment. Legal tensions persist: the Pretoria High Court recently dismissed a challenge by the Board of Healthcare Funders (BHF), reinforcing the need for policy coherence with NHI.

Organised Business, through BUSA’s Health Policy Subcommittee, had nominated representatives (including BLSA members) to participate in the dialogue. The session was set to present an opportunity to advocate for inclusive, sustainable healthcare financing models that balance affordability and regulatory integrity.

Energy and Environment

South Africa’s Roadmap for Electricity Reform

In June 2025, the Minister of Electricity and Energy, Dr Kgosientsho Ramokgopa, briefed BLSA on government’s roadmap for electricity sector reform, outlining key policy and structural developments aimed at expanding the electricity system and enabling greater public sector participation. Key priorities include:

  • Implementing the Electricity Regulation Amendment Act from January 2025, enabling a competitive market and the launch of a Transmission System Operator (TSO)
  • Progress on Eskom unbundling, with the National Transmission Company of South Africa (NTCSA) starting trade in July 2024 and full separation of transmission targeted for December 2029
  • Plans to establish a wholesale electricity market, with market codes and operator licensing underway and final market design expected by November 2025
  • Government aims to secure 14,500km of new transmission lines by 2034, requiring about R390 billion in investment. A phased approach begins with a Request for Qualification in July 2025
  • Regulatory reforms include third-party wheeling rules (approved March 2025) and Draft Transmission Regulations (April 2025) to support private sector participation and transparent procurement.

BLSA welcomed the Minister’s update, which aligns with business’ longstanding advocacy for structural reform, greater market access, and regulatory clarity. Ongoing engagement is expected as the reforms progress.

Draft Integrated Resource Plan 2024

Since the April inception meeting, BLSA has participated in the IRP 2024 NEDLAC process, with a task team led by the Energy Council and including BUSA, EIUG, and Minerals Council. This team builds on the previous IRP working group for sector expertise.

Thematic NEDLAC workshops addressed IRP assumptions, modelling, legislation, and proposed energy interventions, including a bilateral with the Department of Electricity and Energy in May to discuss renewables, nuclear, and alternatives.

In June, Business outlined six strategic recommendations during stakeholder meetings at Matimba House:

  • Establish regular IRP updates
  • Reflect market liberalisation
  • Develop a coherent gas build plan
  • Include nuclear build scenarios
  • Review EAF assumptions
  • Position energy security strategically

A final report will compile all positions for submission to the DG Cluster and Minister, ahead of Cabinet review, including a dedicated chapter reflecting Business’s input.

Water Sector Update

The water sector continues to face mounting infrastructure, governance and financial pressures.

  • Rand Water increased tariffs by 15.8% and added a 1% surcharge for the new Water Demand Management Fund, heightening affordability concerns in major metros.
  • Johannesburg, Tshwane, and Ekurhuleni face a combined capital shortfall over R58 billion; Johannesburg alone needs R26 billion but only has R1.5 billion available.

On the governance front, the National Water Resources Infrastructure Agency Act was signed in February 2025, with full implementation by April 2026.

The Water Services Amendment Bill has completed public consultation and is progressing through Cabinet, while Boards for Catchment Management Agencies are now in place, supporting decentralised governance.

Major metros have established ring-fenced water entities to reinvest revenue; Emfuleni is developing an SPV with Rand Water for improved operations.

Updated recommendations for Nationally Determined Contribution (NDC) targets

As a signatory to the 2015 Paris Agreement, South Africa is obliged to release updated climate pledges (NDCs) every five years.

Business is concerned about the updated recommendations for South Africa’s 2030-2035 NDC targets, recently released by the Presidential Climate Commission (PCC). 

The PCC, a multidisciplinary institution, will participate in consultations led by DFFE. Business stakeholders fear the PCC’s recommendations may not be practical, citing uncertainties about how domestic factors were considered.

Questions have been raised about the feasibility and practicality of the proposed NDC range, given factors such as slow economic growth, limited financial support, and technological challenges.

While the PCC claims its advice reflects South Africa’s fair share of global emissions reduction, business representatives disagree.

Business is also concerned that PCC recommendations could be prioritised by the Department of Forestry, Fisheries and the Environment, given the PCC’s institutional role under the Climate Change Act.

Eskom Nuclear Attributes

Eskom concluded the first phase of its Nuclear Attributes auction and is preparing for phase two, with plans to segment renewable attributes. Questions remain about ownership and legitimacy, particularly for attributes tied to public infrastructure. Eskom did not disclose participation data, citing confidentiality, while concerns persist over the impact on South Africa’s national grid emission factor and compliance with the Carbon Border Adjustment Mechanism (CBAM).

Carbon Border Adjustment Mechanism (CBAM)

NEDLAC has established a CBAM and Other Protectionist Measures Working Group to inform a South African position on such measures. Other countries, including Canada, Australia, and the US, are considering similar mechanisms, following the EU and UK. The purpose of the Working Group is as follows:

  • The working group aims to formulate a collective position on CBAM and other protectionist measures that aligns with South Africa’s economic goals.
  • Consider the NEDLAC CBAM and other protectionist measures report arising from the dialogue session.
  • Propose potential solutions and mechanisms that ensure that the effects of implementing CBAM and other protectionist measures do not adversely impact the South African economy. South Africa is highly dependent on carbon-intensive industries such as mining, manufacturing, and coal energy generation.
  • Develop a report to be submitted to Teselico.
  • The NEDLAC Report would also indicate details on the areas of agreement and areas of disagreement where applicable. This should be done after all mechanisms for reaching agreements have been exhausted, including the below troubleshooting mechanisms.

Conference of the Parties (COP30)

COP30 will be hosted in Belém, Brazil, from 10–21 November 2025, focusing on climate adaptation, finance, forest preservation, and just energy transitions. South Africa, via the National Business Initiative, will host a Pavilion to showcase climate progress and facilitate stakeholder engagement. Sponsors can contribute from R320,000 to R1 million for branding and event opportunities. The event will provide ample accommodation, with e-visas and accreditation managed by DFFE. Planning continues to maximise opportunities for private sector climate action and international visibility.

PR & Communication

Overview

BLSA’s media and social media performance experienced a notable decline primarily due to reduced activity levels over the festive season. However, from 10 January, when BLSA resumed content production, there was a noticeable spike in readership and impressions. This indicates that media houses and our followers across various platforms find significant value in the content we produce.

Media Exposure

BLSA media coverage had a potential reach of 249 million readers, viewers, and listeners, marking a 78% decrease compared to the previous period.

BLSA’s performance from November 2024 to February 2025 was slightly lower than the same period in the previous year. During the previous reporting period (26 June to 4 November 2024), BLSA performed well due to commentary on the outcomes of national elections, the Government of National Unity, and the business-government partnership. Despite the quiet period over the festive season, BLSA managed to secure over a third of  the media mentions it received in the previous period, confirming our recognition as  the prominent “voice of business”.

BLSA continues to lead its peer group in global media reach, holding a 40% share of voice (an 8% decrease from the previous period) and a 37% share of voice in terms of global media volumes (a 6% increase ).

BLSA’s net tonality improved by 24 points, with BLSA content reflecting a  neutral stance overall. This reflects the ongoing positive tone of BLSA’s editorial content throughout the period.

Social Media Exposure

BLSA’s social media performance saw a significant decline during the period, mainly due to reduced activity levels over the festive season. Social exposure dropped by 72%.

This dip in performance is expected during the festive season. The decrease in impressions for Facebook and X can also be attributed to the lack of promoted content during this period. Twitter accounted for 69% of social volume, followed by Facebook with a 15% share.

CEO’s Weekly Newsletter

The CEO’s Weekly Newsletter is disseminated via Mailchimp to the public and media. During the period of review, the newsletter had a 27% average open rate, compared to a 10.5%  open rate across all industries was 10.5%. The subscriber base remained stable during the period, with the number of CEO Newsletter recipients increasing to 1,932, reflecting a net gain of five recipients.  

The newsletter titled “Ministers and Business Leaders Deliver a Positive Message at Davos” (27 January 2025) was the top performer, achieving 610 opens and 82 clicks. 

Conclusion

As we reflect on the start of 2025, it’s clear that we kicked off the year on a high note. The positive sentiment at the World Economic Forum regarding Team South Africa have set a promising tone for the months ahead. The successful launch of the B20 has further solidified our position on the global stage, showcasing our commitment to economic growth and collaboration. President Ramaphosa’s State of the Nation Address was well-received, highlighting key achievements and setting a clear vision for the future.

While the cancellation of the budget speech was disappointing, it also spoke volumes about the critical voices and views of the GNU parties. The parliamentary processes are becoming more and more transparent because of the coalition government. We eagerly await the outcome of the approved Budget 2.0 and the extent to which these will enable economic growth and the creation of jobs. Here’s to a year of continued success and unity!