South Africa places digital transformation at centre of economic recovery strategy

President Cyril Ramaphosa at the 6th South Africa Investment Conference (SAIC) at the Sandton Convention Centre on Tuesday. Picture: The Presidency.

South Africa has placed digital transformation at the core of its long-term economic recovery strategy, with President Cyril Ramaphosa outlining an ambitious vision for the country to become Africa’s leading digital economy.

Speaking at the 6th South Africa Investment Conference held at the Sandton Convention Centre in Johannesburg on Tuesday, Ramaphosa told global executives, investors and financial leaders that technology is no longer a standalone sector, but a central pillar of national growth.

The President said South Africa’s economic rebound would be driven by what he described as the “3Ds” — digitisation, decarbonisation and diversification.

He argued that these three priorities are essential to positioning the country for future competitiveness in a rapidly evolving global economy.

South Africa already ranks among the continent’s most connected nations, with high smartphone usage and strong internet penetration. However, government acknowledged that significant digital inequality remains, particularly among young people and underserved communities.

Digital economy and AI investment push

Ramaphosa said government reforms are focused on building a digitally enabled business environment.

This includes digitising regulatory systems through the Omnibus Fast-tracking Act, which aims to modernise licensing, permit approvals and compliance procedures.

According to the President, these reforms are designed to improve speed, reduce bureaucracy and strengthen transparency for investors.

He also signalled Pretoria’s intention to position South Africa as a continental hub for artificial intelligence, financial technology and advanced manufacturing.

High-level discussions with Google during the conference centred on expanding investment into cloud infrastructure, data centres and AI capabilities.

These investments are expected to strengthen the country’s digital backbone while giving small and medium-sized enterprises better access to global markets and digital tools.

Linking energy transition with digital growth

A major theme of the conference was the connection between South Africa’s energy transition and its digital ambitions.

Ramaphosa said the country’s rapidly expanding solar and wind sectors could provide a cost-effective and sustainable power base for energy-intensive industries such as data centres and technology manufacturing.

By combining low-cost renewable energy with digital infrastructure and a skilled workforce, South Africa hopes to attract international firms seeking efficient regional hubs.

This “energy-digital nexus,” as the President described it, could become a strategic advantage for the country at a time when global technology companies are increasingly focused on sustainability targets.

The 2026 investment conference concluded with R889.8billion in pledges across 81 projects, with a significant portion linked to innovation, infrastructure and industrial modernisation.

The message from government was clear: South Africa is positioning itself not only as an investment destination, but as a future leader in Africa’s digital economy.

Source: The citizen / Presidency of South Africa

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