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Africa|Energy|Freight|Infrastructure|Service|transport|Infrastructure
Africa|Energy|Freight|Infrastructure|Service|transport|Infrastructure
africa|energy|freight|infrastructure|service|transport|infrastructure

$1.5bn World Bank loan to support reforms in South Africa’s energy and transport sectors

23rd June 2025

By: Terence Creamer

Creamer Media Editor

     

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The World Bank has approved a $1.5-billion (R27-billion) development policy loan to support the implementation of ongoing structural reform in South Africa’s energy and transport sectors, as well as the country’s transition toward a low-carbon economy.

In a statement, the National Treasury said the loan offered favourable interest rates based on the six-month Secured Overnight Financing Rate, plus 1.49%, as well as flexible repayment terms, with a 16-year maturity and a three-year grace period.

“The loan will help unlock key infrastructure bottlenecks, particularly in the energy and freight transport sectors, thereby enabling inclusive economic growth and fostering job creation.

“The financing forms part of the government’s broader efforts to implement structural reforms that strengthen public institutions, crowd in private investment, and improve service delivery across priority sectors of the economy,” the National Treasury said in a statement.

Edited by Creamer Media Reporter

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