The National Treasury wants metro municipalities, the engines of the economy and home to the majority of South Africans, to become more 'business-like' in raising revenue and improving service delivery. But there are questions over corruption and political will.

South Africa's eight metro municipalities have been given a new lifeline by the Treasury in the form of an incentive-based grant that unlocks up to R54-billion in government funding, provided metros are run in a more "business-like" manner.

The Metro Trading Services Reforms, launched at the Innovation Hub in Pretoria on 18 March 2026, aims to incentivise municipalities to improve key service delivery in the areas of electricity, water and wastewater, and solid waste management.

"Cities are the engines of economic growth and innovation. If our cities do not work, SA cannot grow," warned National Treasury Director-General Dr Duncan Pieterse to an audience that included representatives from each municipality, as well as international delegates from international monetary institutions like the World Bank and the Asian Infrastructure Investment Bank, as well as European consulates.

Read more Joburg's infrastructure crisis worsens as City spends just 26% of capital budget March 10, 2026 The ambitious programme is targeted at the metros, which serve as the country's economic hubs and are home to approximately 60% of the country's population. It comes in response to failing service delivery in metros caused by ageing infrastructure, corruption, and theft and vandalism. In the 2023/2024...