South Africa secures R26.5 billion World Bank loan to boost infrastructure
South Africa has secured a R26.5 billion loan from the World Bank. The funding aims to modernize Eskom’s electricity grid, support renewable energy integration, and improve Transnet’s rail and port infrastructure.
This initiative follows a 2024 World Bank loan tied to Eskom’s unbundling and a separate R18.85 billion African Development Bank loan to Transnet.
The loan is positioned as a crucial step in advancing economic recovery and structural reforms. However, with 20% of the national budget already devoted to debt servicing, experts caution that oversight and accountability will be critical to avoid repeating past mismanagement.