The role of public sector enterprises in the South African economy

Abstract

This article focuses on economic growth and development in the South African economy to provide background on the involvement of state owned enterprises (SOEs) in the economy. SOEs make an essential contribution to economic development, not only locally, but also regionally and internationally, by sourcing capital equipment, finance and, most importantly, partnerships for development. This article analyses the role of four SOEs in the Republic of South Africa, namely Eskom, Transnet, South African Airways (SAA) and Denel, and discusses their financial contribution and performance.