Mayor Dada Morero has struck an optimistic tone about Johannesburg’s long-term prospects, arguing that the city has “laid the foundation of the future” despite deepening infrastructure pressures and ongoing service delivery challenges.
Delivering the 2026 State of the City Address at the Cathedral Church of Saint Mary the Virgin in Johannesburg, Morero acknowledged the scale of the city’s difficulties while highlighting what he described as measurable progress in investment attraction, housing delivery, water infrastructure, inner-city renewal and job creation.
He emphasised Johannesburg’s role as the country’s economic centre, contributing around 15% of South Africa’s GDP, even as national growth remains subdued. The city’s population now stands at an estimated 5.9 million people across 2.29 million households.
On service delivery, Morero said access levels remain high, with 99.3% of residents receiving water, 96% sanitation coverage and 92% access to electricity for lighting. He also pointed to labour market data indicating the creation of 23,000 jobs in the first quarter of 2026, despite a rise in unemployment from 33.8% to 34.7%.
Turning to municipal finances, the mayor said Johannesburg had transitioned from what he described as a “broke city” in 2019 to adopting a fully funded R89.4 billion budget for the 2025/26 financial year. Plans are also underway to dispose of non-core assets, including vacant land worth approximately R3.2 billion, to strengthen the city’s financial position.
Infrastructure challenges remain significant, however, with total backlogs estimated at over R220 billion. Water losses are currently at 44.7%, while electricity losses stand at 27.1%, underscoring the scale of inefficiencies within the system.
Morero also confirmed ongoing efforts to address Eskom-related debt and energy constraints, including coordination with national government and SALGA. City Power is reportedly finalising a €200 million financing agreement with Germany’s KfW development bank to support energy infrastructure upgrades.
He further highlighted the role of the city’s “Bomb Squad” intervention unit in improving response times to service disruptions and coordinating emergency repairs. Johannesburg has also attracted R26.6 billion in investments and is implementing infrastructure projects worth R73 billion across the metro.
Morero concluded by calling for stronger collaboration between government, the private sector and communities to accelerate the rebuilding and modernisation of the city.
