25/02/2026
signals an important turning point in South Africa’s fiscal trajectory. With public debt stabilising for the first time in 17 years, the deficit narrowing, and renewed confidence, government has laid a foundation for and infrastructure-led growth. Stability alone will not resolve South Africa’s structural crisis.
While projected economic growth improves to 1.6% in 2026 and trends upward over the medium term, this pace remains insufficient to absorb the scale of youth unemployment and labour market exclusion currently facing the country.
The Budget acknowledges the urgent need to reform the national skills ecosystem, including improving the effectiveness of the skills development levy system and strengthening workplace-based and dual training pathways. The Budget’s commitment to reorganising skills acquisition, improving artisanal training, and strengthening sector-aligned development signals a shift from theoretical training toward demand-responsive workforce preparation.
With more than R1 trillion allocated to public infrastructure over the medium term, including investments in transport, logistics, energy, water, digital infrastructure and PPP expansion, new sector demand is emerging.
These investments have the potential to stimulate job creation across engineering, construction, manufacturing, energy transition, logistics and data infrastructure. To convert infrastructure investment into inclusive employment outcomes, sector-aligned skills pathways must be visible, accessible, and coordinated. Without alignment, growth will remain disconnected from labour absorption.
Reducing unemployment and addressing skills mismatches requires shared leadership across government, business, education institutions, and civil society.
Career Indaba® remains committed to convening structured dialogue and enabling measurable opportunity progression in support of South Africa’s employment and economic reform agenda.
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