South Africa’s broader reform agenda continues to show gradual progress, but setbacks in the electricity sector and slower momentum in governance reforms are raising fresh concerns, according to Business Leadership South Africa’s (BLSA) latest Reform Tracker Quarterly Review.
The report indicates that the country’s overall reform score has climbed to 23.7% since monitoring began in March 2024. The tracker assesses 245 reform deliverables across criminal justice, governance and economic sectors. To date, 34 reforms have been completed, 19 have been halted, and 192 remain in progress.
Despite the overall improvement, BLSA chief executive Busisiwe Mavuso described developments in the electricity sector as disappointing.
“The reversal in the electricity sector was quite concerning,” Mavuso said. “Electricity had been one of the areas where we had seen strong progress. The approved unbundling strategy represents a step backwards from the independent transmission system operator model that Operation Vulindlela, Necom and National Treasury have been working towards. It really represents a derailment.”
The sector’s performance score has declined for two consecutive reporting periods, falling from 73.2 points at the end of May 2025 to 71.4 by the end of December 2025.
In contrast, several other areas of economic reform recorded notable gains. Improvements were reported in freight logistics, spatial inequality initiatives, visa systems, the financial sector and water infrastructure.
Mavuso said the broader picture remains cautiously optimistic, noting that while progress has not been uniform, the reform programme is still moving forward.
“The overall story is that our reform programme is functioning not perfectly and not fast enough in all areas but it is definitely functioning,” she said.
The findings underscore the importance of maintaining momentum in critical sectors, particularly electricity, which remains central to economic recovery and investor confidence.