R3,97 Billion In eThekwini Building Plan Approvals

The eThekwini Municipality remains committed to creating an enabling environment that attracts investment into key sectors of the local economy, driving sustainable growth and improving the quality of life of residents.

During the first six months of 2026, the City approved building plans to the value of R3,97 billion, representing an 18% increase compared to the same period in 2025 and a 24% increase on the first half of 2024.

Growth was led by non-residential developments, which increased by 166%, rising from R536 million to R1,43 billion. Approvals for industrial and warehousing developments grew by 167% in value, while approved floor space expanded from 24 497m² to 83 708m². Office and banking developments increased by 158%, while the northern region almost doubled its approval values to R1,16 billion.

These approvals coincide with two independent indicators reflecting growing confidence in the city’s economy. Statistics South Africa’s Quarterly Labour Force Survey for the second quarter of 2026 recorded eThekwini’s unemployment rate at 21,2%, the lowest among South Africa’s metropolitan municipalities and an improvement from 26,8% a year earlier. In July 2026, GCR Ratings reaffirmed the Municipality’s long-term AA-(ZA) investment-grade credit rating and revised its outlook from Negative to Stable.

City Manager Musa Mbhele said the composition of the approvals reflects growing investment in the productive sectors of the economy.

“Investment follows confidence and growth. Investors do not commit capital to industrial and logistics infrastructure in cities where they anticipate stagnation; they invest where they see expanding economic activity, rising demand, and increasing volumes of trade and movement. The significant growth in industrial and warehousing developments is therefore a strong endorsement of eThekwini’s economic trajectory and future potential,” he said.

Mbhele added that the Municipality remains focused on creating certainty for investment and ensuring that development is supported by adequate infrastructure. “As a City, we are prioritising effective by-law enforcement, directing capital investment to areas experiencing sustained development activity, and providing investors with timely and informed decisions regarding site servicing. Every development approval represents not only private-sector confidence in eThekwini, but also our commitment to enabling sustainable growth through responsible planning, infrastructure provision and service delivery.”