Industry Insight

02/07/2026

Headline

SANRAL Fuels Mpumalanga's Construction Boom, but the Next Wave of Projects Will Determine Whether It Lasts

I had the pleasure to present an overview of construction industry at the stakeholder event on the 30th of June 2026.

Mpumalanga remains one of South Africa's strongest construction markets, with activity estimated at R12.7 billion in 2025—well above its long-term average—driven primarily by a record R18 billion civil engineering pipeline led by SANRAL projects. However, the province is entering a transition period. While residential demand is beginning to recover and industrial investment continues to support key municipalities, slower commercial building activity, declining infrastructure delivery by government and a softer tender pipeline highlight the need for new large-scale projects to sustain growth beyond the current construction cycle.

At Industry Insight we focus strongly on provincial construction performance. To find out more please contact us at [email protected].

02/07/2026

Local Government Capital Expenditure Dataset

Understanding where municipalities are actually investing is critical for identifying future construction and infrastructure opportunities.

Industry Insight's Local Government Capital Expenditure Dataset provides a comprehensive quarterly view of capital expenditure and financial performance across all 257 South African municipalities. Covering five financial years of municipal data, together with seven years of provincial infrastructure expenditure trends, the dataset enables users to benchmark municipal performance, monitor infrastructure investment across key sectors, assess municipal financial health, and identify emerging growth opportunities.

Supported by an interactive dashboard, the dataset transforms complex National Treasury financial information into practical, decision-ready insights for contractors, suppliers, consultants, investors and public sector stakeholders.

From budgets to delivery—know where infrastructure investment is actually happening.

Visit www industryinsight.co.za or send an email to [email protected] za to find out more.

19/02/2023

South Africa urgently needs to accelerate its infrastructure project pipeline and ensure sufficient technical capacity at the municipal level. This is the message from Darrin Green, Africa MD of globally trusted infrastructure firm AECOM. While President Cyril Ramaphosa highlighted various infrastru...

23/10/2022

Felt really good to meet up with clients to discuss the current and future outlook for the South African construction sector. Thank you FEMA for the invitation.

22/10/2022

An interesting view on Japan, the 3rd largest economy in the world, that is not following the global trend to increase lending rates to stifle inflation. This decision comes at a cost, but then so does an aggresive rate hike policy.

The yen is plummeting and inflation is climbing, but Japan’s economic circumstances have led to a view that raising rates would do more harm than good.

05/10/2022

Conditions in the South African construction sector remains perplexed, particularly in the civil industry. The disconnect between government podium talk and reality is clear but yet there seems to be some encouraging factors at play. Any growth or uptick in data indicators comes off a low base, given the gradual decline in investment over the years, but it has to start somewhere. Confidence levels remain overwhelmingly poor amongst civil contractors, according to the FNB/BER civil confidence index, at a satisfaction rate of just 24 percent for the 3rd quarter of 2022 (but is better than 10 percent in the previous quarter) and is at the highest level since 2020. Confidence amongst consulting engineers in South Africa, according to CESA's bi-annual survey, is also looking a little better, reaching close to 60 percent in the second half of 2021, linked to improved business conditions and remained above 50 percent for the first half of 2022. Mining companies are more eager to invest in mining infrastructure, and along with an increase in renewable energy projects that are slowly but surely coming off the ground (although the contribution to the civil sector is low), this offers further potential for investment in the industry. The nominal value of civil tenders released in the 3rd quarter of 2022 jumped by 66 percent q-q and 37 percent on a year on year basis, with an increase in the value of both water related and road projects out to tender. Postponements and delays are at the order of the day, but this at least offers some encouragement. How this will filter through to hopefully improved business conditions in the industry and higher turnover remains to be seen. It is relatively certain that 2022 will remain a challenging year for the sector and what 2023 will offer depends entirely on government's commitment to increase infrastructure spending, proactively facilitate private sector participation and increase accountability across all spheres of government to honour budgetary commitments.

19/08/2022

'It has been declining since 2015' – amounting to just 13.7% of GDP in 2020, while the NDP target is 30%.

17/08/2022

Positive data on civil contract awards, less so on the number and value of projects out on tender.