Transnet may trim capital expenditure

At present there were no plans to curtail the programme‚ scheduled to unfold over the coming seven years‚ he told investors at a conference hosted by Bank of America Merrill Lynch.

"We may have to cut the capital expenditure programme by R50bn but so far we are not taking the decision. I think it is unlikely‚" he said.

Transnet's road‚ rail and port expansion projects are the backbone of the government's ambitious infrastructure spending plans and are aimed at boosting economic growth and investment.

Earlier this month‚ Molefe said Transnet's plans were based on an annual economic growth rate of about 3%. The economy expanded by 2.5% last year and is expected to pick up slightly to 2.7% this year before accelerating to 3.5% next year.

Molefe said that Transnet "did not anticipate going to the government for fiscal transfers‚ subsidies or guarantees" for its capital expenditure programme.