South Africa and UK Sign Landmark Infrastructure Development MoU in London

Historic Agreement Signed in London

London, United Kingdom – On October 14, 2025, the governments of South Africa and the United Kingdom signed a significant Memorandum of Understanding (MoU) in London, marking a new chapter in their collaboration on infrastructure development. The agreement is designed to accelerate key projects and enhance the utilization of public assets across South Africa, with the overarching goals of driving long-term economic growth and creating employment opportunities.

The MoU was formally signed by South Africa's Minister of Public Works and Infrastructure, Dean Macpherson, and the UK's Minister of State at the Department for Business and Trade, Sir Chris Bryant. This event underscores the commitment of both nations to address South Africa's pressing infrastructure needs, particularly in areas such as transport, energy, and water systems.

Core Objectives and Strategic Focus

The newly signed MoU outlines several key objectives to bolster South Africa's infrastructure endeavors. A primary focus is on expediting important programs and projects that are expected to significantly impact the economy and the lives of citizens. Additionally, the agreement aims to maximize the value of state-owned assets, including land and buildings, by transforming underutilized properties into hubs for business or community services, thereby generating jobs and income.

The partnership also emphasizes knowledge sharing, with the UK committing to provide world-class advice and skills to assist South African teams in better planning and executing projects. This includes technical assistance and training to build local expertise. The Department of Public Works and Infrastructure highlighted the MoU as a 'landmark' agreement establishing a strategic framework to accelerate infrastructure delivery and optimize public asset use, fostering sustainable economic growth and development.

Building on Previous Collaborations and Economic Context

This latest MoU builds upon existing strong ties and previous agreements between South Africa and the UK. Earlier collaborations, such as an agreement in March 2022, saw the UK sharing its '5 Case Model' for project planning, a globally recognized best-practice tool. These past initiatives have focused on training and knowledge exchange, helping South Africa improve its project assessment and approval processes.

South Africa faces a considerable infrastructure deficit, with its economy having grown by less than 1% annually on average for over a decade. President Cyril Ramaphosa has estimated that approximately 4.8 trillion rand (USD 268.6 billion) will be required in public and private infrastructure investment by 2030 to meet national development goals. The UK's involvement, which includes providing technical expertise and strategic support, is seen as crucial in overcoming barriers to construction and fast-tracking projects.

Economic Impact and Future Outlook

The partnership is anticipated to stimulate economic growth and benefit businesses in both countries, while also deepening the bilateral relationship. For UK firms, the agreement is expected to unlock new export opportunities, particularly in professional and business services and infrastructure sectors. The UK will provide a mix of Official Development Assistance (ODA) and non-ODA funding to support technical assistance and bring in external consultants to drive major projects and address longstanding inefficiencies.

South Africa's Minister Macpherson stated that the partnership reflects a vision to ensure public assets deliver real value and to transform South Africa into a 'construction site' that will foster economic growth and job creation. This strategic collaboration is poised to play a vital role in addressing South Africa's infrastructure challenges and contributing to its long-term economic prosperity.