Mashatile outlines legislative reforms to boost growth, reduce poverty and strengthen the state

Deputy President Paul Mashatile says the Government of National Unity is fast-tracking legislation to drive inclusive economic growth, alleviate poverty, reduce the cost of living, and build a capable state, emphasising that reforms under the medium-term development plan (MTDP) of 2024-2029 are being implemented with clear timeframes.

Speaking in the National Council of Provinces (NCOP) on Tuesday, Mashatile responded to questions from several Members of Parliament. 

George Michalakis, Chief Whip of the Democratic Alliance, asked Mashatile what legislative items he intended to pursue in respect of the government’s priorities.

Mashatile highlighted progress under Operation Vulindlela, an initiative aimed at accelerating economic reforms, noting that phase one had delivered key reforms in energy, water, telecommunications, and visa systems.

“Phase one of Operation Vulindlela achieved key reforms in the following areas: energy, water, telecommunications and visa systems, leading to significant private investments, a more competitive electricity market and improved mobile connectivity,” he said.

He cited the passing of the Electricity Regulation Amendment Bill and the Economic Regulation of Transport Bill as examples of legislation aimed at improving infrastructure and market competitiveness.

Mashatile explained that phase two of Operation Vulindlela, launched in May 2025, focused on service delivery at the local government level, addressing inequality, and continuing reforms in critical sectors.

He noted ongoing work on the Municipal Structures Amendment Bill, also known as the coalition bill, and the roadmap for digital transformation of government.

He added that reforms to strengthen state-owned enterprises were being implemented through the National State-Owned Enterprises Bill, with a focus on governance, unbundling monopolies, introducing competition, and transforming boards to be fit for purpose.

He also mentioned legislation to professionalise the public service, including the Public Administration Management Amendment Bill, which had been passed by the NCOP and sent to the president for assent.

DA MP Baxolile Nodada followed up, urging the Deputy President to support legislation that would promote economic inclusion for the poor rather than the politically connected.

Mashatile said the current Broad-Based Black Economic Empowerment (B-BBEE) framework is under review to address gaps and ensure legislation benefits the majority.

“I will not support legislation that seeks to benefit a few. As you are saying, we want to benefit the majority of the people, and to the extent that there may be weaknesses, let's correct that,” he said, highlighting ongoing reviews of Black Economic Empowerment (BEE) policies.

On how social compacts with labour, business, and civil society are being strengthened, ANC MP Agnes Gcaleka-Mazibiko asked about platforms such as NEDLAC and the Presidential Infrastructure Coordinating Commission.

Mashatile stressed the importance of dialogue and consensus-building before passing legislation. “NEDLAC provides a unique platform for dialogue to ensure government, business, and civil society come together to support the implementation of these priorities. Other institutions provide strategic guidance to the work of the entire government,” he said.

MK Party MP Wesley Douglas challenged  Mashatile on the government’s poor track record on unemployment and poverty. Douglas cited stagnant growth, youth unemployment of 72.4%, and declining per capita income, questioning how new legislation would address these failures. Mashatile responded that the medium-term development plan is actionable, with clear timeframes and tracking mechanisms.

“All ministers, government departments, and agencies have clear timeframes for implementation. Legislation must make an impact on the lives of poor South Africans,” he said

BOSA leader Dr Mmusi Maimane highlighted the role of education in reducing unemployment, particularly in rural provinces such as the Eastern Cape. Mashatile acknowledged the need to invest in education and skills development and noted that the Human Resource Development Council, which he leads, is prioritising youth education and skills to address unemployment.

''We work with labour, with business, and NGOs. We are putting the issue of education and skills on top of the agenda of what we do, particularly amongst young people.So that we don't have people called unemployed graduates.''

“Even when unemployment shows a slight decline, we are concerned. We are reviewing plans to ensure faster implementation to positively impact the lives of our people,'' said Mashatile. 

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