ransnet is the second-largest State-owned enterprise in South Africa (SA) after Eskom. Unfortunately, its decline has been as staggering as its larger stablemate, with its 2023 financial statements showing that its performance deteriorated from a net profit of R5 billion in 2019 to a net loss of R5.7 billion in 2023. With over R120 billion in debt at the end of March 2023, Transnet’s ability to invest in much-needed infrastructure upgrades is highly constrained which, combined with its poor operational capacity, has choked the economy. Consultancy firm, the GAIN Group, has estimated that inefficient rail transport at Transnet could have cost the economy approximately R353 billion last year, mainly due to forfeited commodity exports.

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