Gauteng Remains South Africa’s Economic Engine: Maile Tables 2026 Budget

Gauteng continues to play a central role in South Africa's economy, contributing about 33% of the country's Gross Domestic Product (GDP), according to Gauteng Finance and Economic Development MEC Lebogang Maile, who tabled the Gauteng 2026/27 provincial budget on Tuesday.

Despite global economic volatility and geopolitical tensions, Maile said the province remains the "engine of the national economy," driven largely by the finance, trade and transport sectors.

The province's economy is valued at over R2.4 trillion annually, with economic growth projected to reach 2.1% in 2026, surpassing the national growth forecast of 1.6%.

Job Creation Shows Strong Momentum

Maile highlighted that Gauteng continues to generate employment opportunities despite economic pressures.

• Over 250,000 jobs were created in 2025

• 95,000 jobs were created in the second quarter of 2025 alone, the highest among all provinces

Currently, more than 6 million people are employed in Gauteng, with trade and construction emerging as leading sectors driving job growth.

"These numbers show that businesses still have confidence in Gauteng's ability to drive economic recovery and growth," Maile said.

Investment Drive Gains Traction

The provincial government also reported progress in converting investment pledges into real economic projects.

From the R312.5 billion pledged during the 2025 Gauteng Investment Conference (GIC):

• 28% of the pledges have already been converted into active projects

• 18 out of 60 projects are currently in the implementation phase

• These projects are valued at over R80 billion

According to Maile, these projects include infrastructure developments, energy initiatives and business expansions, which are expected to stimulate economic growth and job creation.

The next Gauteng Investment Conference is scheduled for April, where the province aims to secure additional commitments.

The government has set an ambitious goal of attracting R800 billion in investment by the end of the 7th administration.

Revenue Challenges and Reforms

Maile noted that Gauteng generates only about 5% of its revenue from its own sources, which include:

• Motor vehicle licence fees

• Gambling taxes

• Patient fees

• Interest on treasury investments

Total provincial revenue collection for 2026/27 is projected at R8.2 billion.

To strengthen revenue generation, the government plans to amend the Gauteng Gambling Bill to regulate online betting, an area where the province previously lost hundreds of millions of rand due to the absence of a licensing framework.

The amendments aim to:

• Improve regulatory oversight

• Strengthen compliance monitoring

• Introduce automated responsible gambling mechanisms

Additional legislative reviews are also planned for the Gauteng Liquor Act and related regulations.

Strengthening Debt Recovery

The provincial government will also appoint a Panel of Debt Collectors to assist government departments and institutions in recovering outstanding debts.

This measure is expected to improve financial sustainability and strengthen public revenue management.

Maile said the province remains focused on investment, job creation and stronger revenue systems to sustain Gauteng's role as the economic hub of South Africa.