Note: This article has been written on the basis of documents provided to the media during the 2025 Budget lock-up prior to the cancellation of the Budget Speech on February 19. The National Treasury has lifted the embargo imposed on the information, but a new Budget is now due to be tabled on March 12.

The Department of Transport and State-owned Transnet will, in the next two months, engage the market on private sector participation (PSP) projects in several areas, Finance Minister Enoch Godongwana confirmed in his 2025 Budget speech, which he was meant to deliver on February 19.

These projects include iron-ore, chrome, coal and manganese lines; expansion and automation of the ferrochrome and magnetite terminal at the Port of Richards Bay; the container and automotive sectors, including the potential designation of the South African container port system as a regional trans-shipment hub for major shipping lines; and the establishment of an independent rolling stock leasing company.

Should Transnet require gap funding for its PSP projects, the Budget Facility for Infrastructure will consider these after proper packaging and financial structuring.

Godongwana noted that additional guarantees may also be considered to refinance the entity’s maturing debt and cover its operational requirements.