On 20 January 2022, the South African Government received a low-interest Development Policy Loan (DPL) of $750 million from the World Bank Group to support its efforts to accelerate the COVID-19 response aimed at protecting the poor and vulnerable from the adverse socio-economic impacts of the pandemic and supporting a resilient and sustainable economic recovery. The DPL supports the implementation of South Africa’s Economic Reconstruction and Recovery Plan which is aimed at protecting lives, and livelihoods and supporting a more inclusive and resilient growth path. It reflects priorities to modernize the country’s social protection and health services and improve delivery systems which will apply even beyond the pandemic. Mr. Dondo Mogajane, the National Treasury Director-General made the following remark
The DPL is coming at a critical time for us and will contribute towards addressing the financing gap stemming from additional spending in response to the COVID-19 crisis. It will assist in addressing the immediate challenge of financing critical health and social safety net programs whilst also continuing to develop our economic reform agenda to build back better.
