As of 2011, 32,3 per cent of the population were living below the National Planning Commission’s lower bound poverty line, compared with 42,2 per cent in 2006. The Gini coefficient, which reflects income inequalities remains high but declined from 0,72 to 0,69. The focus on economic infrastructure expenditure in the NDP is key.
The recent government budget provides for capital expenditure by the major state-owned companies of almost R400 billon to be spent on infrastructure during the coming three years, the bulk of this on electricity and transport infrastructure. This should have a positive impact not only on current growth during the build phases, but also on future growth as infrastructure bottlenecks are eased.