The Western Cape Government (WCG) on Thursday unveiled a plan to enhance public services and infrastructure development, with the announcement of R1.739 billion in new funding as part of the 2025/26 Medium Term Budget Policy Statement (MTBPS) and the 2025 Adjustment Budget.
Tabled by Finance Minister Deidré Baartman at the Western Cape Provincial Parliament, the budget is part of a broader strategy coined ‘Scaling for Growth’ aimed at stimulating economic expansion in the province, Cape {town} Etc reports.
Baartman highlighted the pressing need for increased infrastructure delivery and social services, particularly in light of rising population figures.
‘Scaling requires increasing the province’s economic momentum by expanding infrastructure delivery, strengthening investment, and ensuring essential public services can keep pace with rapid population growth,’ Baartman explained.
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The Western Cape, which has consistently outperformed the national economy, is set to experience a projected growth of 1.2 per cent in 2025.
Factors contributing to this growth include robust performances in key sectors such as agriculture, finance, and tourism, coupled with unwavering investor confidence
The province also records the lowest unemployment rate in South Africa, currently standing at 19.7 per cent.
The proposed R1.739 billion in additional funding will be derived from a combination of national transfers amounting to R1.070 billion, alongside provincial funding of R669 million.
Notably, Baartman reassured legislators that no department’s budget would be cut during this adjustment, reinforcing the government’s commitment to essential service delivery amidst a constrained national fiscal landscape.
Among the allocations are:
- Health: R573.6 million earmarked to stabilise in-year pressures, with an additional R139.157 million provisionally set aside for the 2026/27 budget year, reflecting recruitment timelines.
- Education: R292.1 million provisionally allocated for educator compensation in the 2026/27 budget year, also linked to recruitment timelines.
- Police Oversight and Community Safety: R9 million allocated for the Mitchells Plain Safety and Development Programme, a new pilot initiative targeting crime prevention in high-risk areas.
- Cultural Affairs and Sport: R3.5 million for youth development programmes that promote healthier lifestyles through sport and cultural engagement.
- Infrastructure: R295 million dedicated to infrastructure improvements, including R114 million for road infrastructure and R181 million to accelerate housing delivery.
- Social Development: R21 million to enhance psychosocial support services, care for older persons, and upgrades to digital support systems.
‘Every rand in this budget must carry more weight than before. We are scaling for growth because our population is rising, our economy is changing, and our residents expect improved delivery,’ Baartman stated.
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Picture: Deidré Baartman / Facebook
