OpinionPREMIUM

SA’s corruption quagmire: from state capture to endless kleptocracy

Unless urgent action is taken, our democratic project itself may erode beyond repair

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Sandiso Mahlala

Alarming allegations aired at hearings of the Madlanga commission, taking place at the Brigitte Mabandla Justice College in Pretoria, have reinforced the argument that corruption in SA is now systemic. (Freddy Mavunda)

SA’s democratic promise continues to corrode under the persistent weight of political corruption and entrenched patronage networks.

What was once dismissed as episodic misconduct has hardened into a systemic pathology, hollowing out governance institutions and undermining the country’s economic and social foundations.

The way I look at it, the political corruption and patronage in the South African government lays bare a grim reality — corruption is no longer a deviation from the democratic system, but it has become the system itself.

The period of state capture under former president Jacob Zuma remains the most notorious manifestation of this rot.

During that era, the Gupta family notoriously influenced cabinet appointments, secured lucrative state contracts and redirected public resources for private enrichment.

Estimates suggest that as much as R250bn was siphoned from the public purse between 2014 and 2017, with the economy losing nearly four percentage points of GDP growth annually.

These were not abstract losses; they translated into stalled infrastructure, collapsing service delivery and deepening unemployment.

Yet to frame corruption purely as a Zuma-era aberration is dangerously misleading.

The Covid‑19 pandemic exposed how deeply patronage had permeated the post‑state capture period.

Emergency relief funds that were meant to safeguard lives and livelihoods of innocent people were plundered through inflated and irregular procurement processes by those whose fingers were close to the cookie jar.

The Digital Vibes scandal, which involved a R150m communications contract linked to associates of then health minister Dr Zweli Mkhize, illustrated how public health crises could be converted into private profit.

While no political consequences followed, systemic accountability remained elusive.

Patronage politics thrives because political parties weaponise state resources to reward loyalty rather than competence.

Cadre deployment has hollowed out the public service, privileging political allegiance over professional merit.

The Free State asbestos housing scandal, involving R255m paid to politically connected firms while impoverished communities continued to live in degrading conditions, exemplifies this perversion of development priorities by the present regime.

State‑owned enterprises (SOEs) have functioned as prime extraction sites in this kleptocratic order.

South African Airways was driven into business rescue in 2019 after years of irregular expenditure and politically influenced contracts, many linked to Gupta interests.

Eskom’s chronic corruption has fuelled relentless load‑shedding, crippling productivity and deterring investment.

Transnet’s locomotive procurement scandal, with billions lost through inflated contracts, has also severely undermined rail and port capacity, costing the economy untold billions annually and without any consequence management and accountability at all.

The social consequences of these dynamics are staggering.

Official unemployment hovers above 32%, youth unemployment is catastrophic and inequality rivals the worst years of apartheid.

The erosion of the rule of law has weakened public trust in democratic institutions, discouraged long‑term investment and distorted electoral competition.

Despite repeated warnings from the auditor‑general, public protector and the Zondo commission, enforcement has been lethargic and selective.

Eskom remains a site of ongoing criminal investigation, while Transnet’s logistics dysfunction continues to strangle export‑oriented sectors.

President Cyril Ramaphosa’s promised “new dawn” offered temporary hope, but it too has been clouded by controversy.

The Phala Phala farm scandal that centred on undeclared foreign currency hidden on his private farm has also shattered the moral high ground claimed by the reformist camp within the ANC.

While legal processes remain contested, the episode reinforced perceptions of elite impunity and double standards.

By 2026, the pattern is unmistakable.

Zondo commission referrals have translated into a selective few high‑profile convictions, despite billions identified as recoverable losses.

Eskom remains a site of ongoing criminal investigation, while Transnet’s logistics dysfunction continues to strangle export‑oriented sectors.

Municipal collapse — driven by nepotism, mismanagement and corruption that has become routine and a way of life for many — is seen in recurring water, sanitation and electricity crises in major metros.

SA’s grey‑listing by the Financial Action Task Force since 2023 further exposed governance failures, raising borrowing costs and deterring foreign capital. [SA exited the grey list in October 2024 after demonstrating compliance with anti-money-laundering recommendations].

Meanwhile, poverty deepens, inequality widens and social unrest intensifies, evidenced by recurring service‑delivery protests and episodic explosions of violence.

Kleptocracy, not constitutionalism, increasingly defines the political economy of the state.

SA now stands at a crossroads.

Without genuine political will to ensure the independence of prosecutorial institutions, protect whistleblowers, dismantle cadre deployment and professionalise the public service, corruption will continue to devour the country’s developmental prospects.

The National Development Plan’s vision of an ethical, capable state will remain a hollow aspiration.

The urgency is existential. If voters fail to demand accountability and integrity — particularly in upcoming local government elections — the democratic project itself may erode beyond repair.

The “rainbow nation” of post-1994 risks fading into a cautionary tale of elite predation, where public power is systematically converted into private wealth, and the costs are borne by the poor, the excluded and future generations.

Dr Sandiso Mahlala, head of department, Faculty of Economics and Management Sciences, Sol Plaatje University


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