The Minister of Communications and Digital Technologies, Solly Malatsi has said the South African government is supporting the expansion of the country’s data centre industry as existing operators prepare to increase their investments,
Malatsi disclosed this while responding to parliamentary questions from DA MP Tsholofelo Bodlani, saying South Africa currently has more data centres than any other country on the African continent.
“South Africa currently has more data centres than any country on the continent, and existing data centres have indicated their intentions to expand their existing investments,” Malatsi said.
He said the Department of Communications and Digital Technologies is supporting the sector through the National Data and Cloud Policy, which was developed to provide greater policy certainty for multinational companies looking to invest in data centres.
According to Malatsi, the policy was developed in collaboration with industry stakeholders and received full support from relevant stakeholders following its approval by Cabinet.
The minister said the Department of Trade, Industry and Competition is responsible for providing incentives aimed at attracting investment from both local and international companies.
“The Department of Communications’ role is limited to creating an appropriate regulatory environment in this regard,” he said.
Malatsi also highlighted efforts to ensure that data centre investments contribute to local economies, particularly through skills development initiatives.
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He said his department works with data centre companies on skills development, mainly through Equity Equivalent Investment Programmes (EEIPs), although these are not the only initiatives being used.
The minister also stressed the importance of stronger cooperation between national and local governments in supporting municipalities that host data centre facilities.
He said better coordination between different levels of government could help share resources, improve service delivery and reduce delays that could negatively affect investment.
“Such interactions can also help alleviate unnecessary delays that could have a negative impact on investment,” Malatsi said.

