South Africa Accelerates Rail, Port Overhaul to Unlock Mining Sector Growth
Infrastructure Modernization and Rising Investment Flows
Transnet secured a €300 million sustainability-linked loan from the French Development Bank to upgrade infrastructure, integrate more renewable energy to reduce costs and emissions and improve the flow of critical minerals between South Africa, France and wider Europe. The European Investment Bank also extended a €350 million loan to support the company’s infrastructure upgrades to facilitate future green hydrogen exports and the movement of critical minerals to European markets.
South Africa also secured a $1.5 billion World Bank loan, part of which will support broader national logistics infrastructure upgrades. Commitments by international investors secured in 2025 build on earlier financing secured in 2024, including $278 million from the New Development Bank and $1 billion from the African Development Bank.
Local Infrastructure Use and Expansion Agreements
In addition to cooperation with international investors, Transnet is also advancing partnerships with local entities to enhance its financial and technical capabilities. Transnet received a major boost when the national budget allocation for the company was increased by R94.8 billion - on top of the initial R51 billion announced in early 2025. Beyond funding, Transnet deepened collaboration with local stakeholders to improve mineral logistics. A cooperation agreement signed with the City of uMhlathuze aim to advance modernization of infrastructure in Richards Bay while a service agreement signed with mining company Exxaro aim to strengthen infrastructure readiness for coal and bulk mineral transportation. Transnet also renewed and expanded a long-term agreement with mining company United Manganese of Kalahari to facilitate the transportation of manganese from Northern Cape to global markets.
As international investors increase their focus on South Africa’s port and rail modernization agenda, the upcoming African Mining Week - scheduled for 16–18 November 2026 in Cape Town - will provide a platform to showcase progress, highlight new projects underway, and connect global partners with opportunities across South Africa’s mineral logistics value chain.

