Durban: President Cyril Ramaphosa says eThekwini has moved from the brink of decline to early recovery but warned that stabilisation must now give way to structural economic reform if the metro is to achieve catalytic growth. Addressing stakeholders at the Presidential eThekwini Working Group meeting at the Inkosi Albert Luthuli International Convention Centre on Tuesday, the President said tangible progress had been made over the past two years.
According to South African Government News Agency, when the group first met in early 2024, eThekwini was grappling with uncertainty, fragile confidence, and acute service delivery challenges. However, President Ramaphosa highlighted that there are now signs that the decline has been arrested, stability has taken root, and recovery is underway.
Central to the President’s address was the improvement in business sentiment, with the Durban Business Confidence Index reaching its highest level since inception. President Ramaphosa attributed this turnaround to stronger political leadership, improved administrative stability, and better coordination across government spheres, supported by business and labor.
Tourism figures underscore the recovery, with nearly 1.2 million visitors during the recent festive season. Occupancy rates climbed to 77%, and tourism spending reached R2.7 billion, reinforcing Durban as a destination of choice.
Manufacturing confidence also saw a significant rise, with a nearly 16% increase quarter-on-quarter in a metro that hosts the country’s second-largest manufacturing sector, intrinsically linked to the Port of Durban.
President Ramaphosa also welcomed the municipality’s approval of a Partnerships Framework in September 2025, aimed at creating a transparent system for public-private collaboration on infrastructure and catalytic projects. He emphasized the importance of water security to economic growth, citing ongoing projects like the Southern Aqueduct Upgrade, though he acknowledged challenges such as the 55% non-revenue water rate.
The President announced that the second phase of the Presidential eThekwini Working Group will focus on economic development and reform. The government aims to unlock infrastructure investment, reduce red tape, and reform cost structures. The Department of Trade, Industry and Competition will tackle issues like illicit trade and industrial vulnerability, while addressing derelict and hijacked buildings in the city center will be prioritized.
Finally, President Ramaphosa described the extension of the Working Group as a vote of confidence and recognition that the recovery journey is not complete. He concluded by reiterating the goal of restoring eThekwini as a gateway to the continent and a beacon of resilience, partnership, and shared prosperity.