The Transformation Fund is a newly launched R100 billion initiative by the South African government, unveiled on 5 May 2025 at Freedom Park in Pretoria by Deputy President Paul Mashatile. The fund aims to drive inclusive economic growth by supporting black-owned businesses, particularly in the manufacturing sector, and promoting industrialisation.

Key Features of the Transformation Fund:

• Financial Support: Provides funding to black-owned enterprises, with a focus on manufacturing, to stimulate economic growth and innovation.
• Inclusive Economic Participation: Targets support for businesses in townships, rural areas, and those led by women, youth, and people with disabilities.
• Alignment with B-BBEE Policies: Supports the Broad-Based Black Economic Empowerment (B-BBEE) framework to enhance black economic participation.
• Sectoral Diversification: Funds allocated to various sectors, including services, tourism, agriculture, and renewable energy, to foster resilience and adaptability in the economy.
• Collaboration Across Sectors: Encourages partnerships between public and private sectors to streamline empowerment efforts and maximize impact.

• Collaboration Across Sectors: Encourages partnerships between public and private sectors to streamline empowerment efforts and maximize impact.

The Transformation Fund represents a significant step towards addressing economic inequalities and fostering a more inclusive economy in South Africa.