The World Bank has approved the “Metropolitan Commercial Services Program,” targeting 22 million people across eight of South Africa’s largest metropolitan municipalities, representing 85% of the country’s economic activity.
According to a statement from the institution on Friday, November 7, 2025, this initiative marks the first Program-for-Results (PforR) operation in South Africa. It seeks to improve accountability, financial sustainability, and operational performance in key urban services.
The program includes $925 million in World Bank financing as part of a broader $3 billion government vision. “Cities that achieve performance targets will gain access to this expanded financing to strengthen essential services,” the Bank said.
The PforR mechanism links fund disbursement directly to measurable outcomes. It will support government reforms and institutional strengthening in commercial services such as water supply and sanitation, electricity, and solid waste management.
In recent years, South African cities have faced growing challenges in providing basic services, including declining access, financial instability, and underinvestment in infrastructure.
A report by Statistics South Africa (Stats SA) in November 2024 noted that access to essential services improved between 2011 and 2022. Access to drinking water rose from 85.1% to 88.5%, and sanitation coverage increased from 68.9% to 80.7%. However, access remains uneven among municipalities, depending on population size, economic development, and infrastructure needs.
The program will run for six years.
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