The Centre for Development and Enterprise (CDE) has urged Johannesburg’s incoming mayor to immediately appoint a dedicated task force of civic and business leaders to craft a realistic economic recovery vision.
The recommendation is outlined in the sixth report in CDE’s Johannesburg Matters series, titled ‘Joburg Needs Faster Growth’.
CDE executive director Ann Bernstein warns that Johannesburg’s socioeconomic standing has deteriorated sharply over the past decade, noting that real per capita GDP in the city dropped from R99 858 in 2013 to R95 737 in 2023.
By the second quarter of 2026, Johannesburg’s official unemployment rate surged to 35.9% – the highest among South Africa's metros and above the national average of 33.6%.
Over the one-year period ending in June 2026, Johannesburg shed roughly 90 000 jobs, while Cape Town managed to add 57 000.
Bernstein notes that institutional decay and municipal failures have turned South Africa’s premier economic hub into a difficult environment for investment, employment, and business operations.
The CDE report criticises the current administration’s Economic Growth Strategy, which proposes nearly 30 large-scale, State-led projects costing an estimated R111.47-billion over five years.
These include, a R1.5-billion international convention centre in Lanseria, a R2.14-billion film and clothing cluster and a R546-million biodiesel production plant.
The city expects that private investors and donors will shoulder 98% of the funding.
CDE argues these plans are detached from reality, noting that the municipality lacks the administrative capacity and financial health to oversee them.
Instead, the new administration must remain focused on "fixing the basics"; restoring reliable municipal services (such as curbing power outages, which average 20.6 hours every three months) and rebuilding broken municipal institutions, the organisation advises.
It must combat corruption, stabilise city finances and implement a mayoral task force.
To balance immediate recovery with long-term strategy, the CDE recommends that the new mayor appoint a compact task force of five to eight cross-societal leaders and support the group with a small secretariat funded through existing economic development allocations.
The incoming mayor must also mandate the task force to deliver actionable, resource-realistic proposals within one year.
Core areas for the task force to tackle include revitalising traditional strengths in finance, mining, and technology, eliminating bureaucratic red tape, and eventually addressing cross-cutting crises like crime, housing, and public transport.
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