By 
Despite the economic challenges, the Free State MEC for Finance Hon. Ketso Makume presented a rather optimistic budget with a positive outlook for 2025 financial years. His budget speech reflected the ambitions of the province in growing its economy and create an inclusive economy and reduce poverty.
Makume said during his budget speech, the economic outlook for the 2025 is positive albeit from a low base. He said the Free State economy is expected to grow from the 0.6 percent recorded in 2024 to about 1.6 percent in 2025, followed by 1.7 percent in 2026.
“This anticipated growth is expected to be buoyed by improved performance from the agriculture, finance, trade, and construction sectors,” he said.
Free State is still feeling the brunt of a slow growing economy reflected on its labour market, instead of creating more jobs, more people are losing their jobs contributing to the stubborn unemployment rate.
Reflecting on this discouraging fact, MEC Makume said the latest QLFS report from StatsSA shows a quarterly increase of 1.9 percentage points in official provincial unemployment, standing at 37.9 percent in the fourth quarter of 2024 compared to 36 percent recorded in the third quarter of 2024.
“We are convinced that the prevailing economic, fiscal, labour market and socio-economic challenges in the province will improve remarkably in the near term due to strong political willingness and demonstrated effort by the provincial government to ensure the proactive implementation of economic reforms and investment plans outlined by our Hon Premier Letsoha-Mathae in her recent State of the Province Address last month.
Most notably the implementation of aggressive infrastructure investment to improve deteriorating road networks and water infrastructures to improve service delivery; revitalize the operational and financial capacity of our existing SEZ to support industrialisation and attract foreign investors; promote the province as a viable tourist attraction and adopt accountable public governance.
Undoubtedly, our genuine intent to enforce the realization of these policies will not only make the lives of our people better but also create a conducive environment for job creation, productive economic growth, inclusive economic development and improvement in the general welfare of our people,” said MEC Ketso Makume.
Infrastructure is key in growing the economy of the Free State, and the MEC backed it up by investing R5.2 billion dedicated to infrastructure which will turn the province into a construction site and create multiple job opportunities and attracted investors into the province.
“We are delighted to inform the house that close to 42 percent of this allocation is for projects that are to be implemented by the Department of Community Safety, Roads and Transport. This underscores the promise you made in relation to addressing key roads across the province. This also affirms your clarion call to turn Free State Province into a construction site,” said Makume.
