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South Africa secures $150m loan from Opec Fund

South Africa has secured a $150m development policy loan from the Opec Fund for International Development to support reforms aimed at easing infrastructure bottlenecks, its National Treasury said on Wednesday, 13 May 2026.

13 May 2026

Source: Pexels.

The Treasury in a statement said that the loan agreement was the first between South Africa's government and the Opec Fund.

"The loan will support government's ongoing reform programme aimed at unlocking infrastructure bottlenecks, particularly in the energy and freight transport sectors," the statement said.

It aligns with the Treasury's financing strategy, which seeks to diversify funding sources and minimise increases in debt-service costs.

The Treasury said the financing has a six-year maturity with a two-year grace period and an interest rate of six-month Secured Overnight Financing Rate plus 1.25%.

Source: Reuters

Reuters, the news and media division of Thomson Reuters, is the world's largest multimedia news provider, reaching billions of people worldwide every day.

Go to: https://www.reuters.com/