Cabinet has welcomed the continuing improvement in Eskom’s financial and operational performance for the first six months ending September 2025.
This, while highlighting Eskom’s sustained financial and operation recovery, as the power utility recorded a R24.3-billion profit after tax for the six months, ending September 2025, which is a 37% increase compared with the same period last year.
Speaking at a post-Cabinet media briefing in Pretoria on Thursday, Minister in the Presidency Khumbudzo Ntshavheni noted the period saw consistent energy supply, with only four days of load-shedding, while electricity supply reliability stood at 96% in 2024/25, improving to 98% to date.
“Eskom’s solid performance demonstrates the efficacy of Eskom’s recovery plan, initiated under Operation Vulindlela structural reforms programme, the level of competence of Eskom’s management team and its board, and the focused leadership of the Minister of Electricity and Energy,” Ntshavheni said.
Positive economic growth
Cabinet also welcomed signs of sustained economic momentum, as indicated by the 3rd Quarter GDP figures, released by Statistics South Africa.
South Africa’s GDP grew by 0.5% in the period July – September 2025, marking the fourth consecutive quarter of expansion, driven by strong performance in mining, agriculture and services, and contributions from finance, government services, and manufacturing.
The GDP growth in the 3rd Quarter of 2025 was accompanied by a significant increase in employment. According to the Quarterly Labour Force Survey, employment increased by 248 000 jobs, while the number of unemployed people declined by 360 000.
“In addition, the Youth Employment Service (YES) initiative, which provides young people with pathways into the economy, has now reached the 200 000 jobs milestone. To date, YES has placed over 202 558 young South Africans in 12-month, quality work experiences and it is supported by more than 1 900 corporate partners.
“Furthermore, the IMF just lifted South Africa’s growth forecast to 1.3% in 2025 and 1.4% in 2026, up from earlier projections of 1.1% and 1.2%, respectively,” the Minister highlighted.
Key implementation plans to drive economic growth approved
Meanwhile, Cabinet approved the implementation plan to drive growth and inclusion, based on the priorities of the 7th administration’s Medium-Term Development Plan.
The plan aims for a coordinated and focused implementation of prioritised economic development interventions which were designed under multiple initiatives.
The plan consolidates several development initiatives into a streamlined framework built on three core pillars:
• Economic reforms to fix and strengthen the fundamentals of the economy;
• Public service reforms to build a state that delivers; and
• Industrial Policy reforms to pursue new areas of growth.
“The focused and prioritised implementation will give the Plan the same impetus of the Structural Reforms programme under Operation Vulindlela,” Ntshavheni said.
Roadmap approved for Critical Minerals Strategy
Cabinet also approved the implementation plan for South Africa’s Critical Minerals Strategy, which details a roadmap to leverage opportunities in mineral wealth arising from the surge in demand for critical minerals due to their increased applications in digital technology, defence, healthcare, consumer electronics, and electric vehicles, amongst others.
The implementation plan focuses on six pillars, including geoscience mapping and exploration; value addition and localisation, research, development and innovation; infrastructure and energy security; financial instruments; and regulatory harmonisation.
The Minister noted that the implementation of the Critical Minerals Strategy will significantly contribute to economic growth and job creation. – SAnews.gov.za
