These are Key Policies the Likely New DA Leadership Will Pursue

It seems obvious that Geordin Hill-Lewis will take over as Democratic Alliance (DA) leader in April and that Ashor Sarupen will become the Federal Chair of the party. Under their leadership the DA will likely prioritise pragmatic, market-driven policies aimed at reviving South Africa’s economy.

In an exclusive interview with The Common Sense, Hill-Lewis shared insights into the policies that would define his leadership.

He emphasised that the country’s economic future depends on cutting through red tape and liberating the private sector. One of his key points was the need to deregulate industries that are currently stifled by government intervention, particularly in energy and small business sectors. According to Hill-Lewis, the state needs to "get out of the way" and allow the private sector to operate freely, which he believes would lead to greater job creation and higher economic growth.

Hill-Lewis also focused on rebuilding investor confidence, stressing that South Africa must restore faith in property rights and ensure that these rights are "sacrosanct" to stimulate both local and international investment. This, he argued, would lay the groundwork for sustainable economic growth. He pointed out that when investor confidence is low, as it has been in South Africa, it negatively impacts everything from infrastructure to job creation, making it vital for the government to show a clear commitment to protecting property.

An index of South Africa’s investor confidence data shows that confidence levels have for more than 15 years dwelt at a rate half that of the period between 2004 and 2007, when confidence peaked, leading to record levels of investment, growth, and job creation.

On the issue of energy reform, Hill-Lewis is particularly committed to dismantling Eskom’s monopoly and allowing more private companies to generate and distribute power. He argued that privatisation and competition in the energy sector would help tackle the country’s energy crisis, leading to a more reliable, affordable energy supply for consumers. As Hill-Lewis put it, “We need to allow the market to operate and let the private sector provide energy solutions.” His leadership is expected to continue pushing for a mix of energy sources, including renewable energy, but with an open approach that doesn't disregard traditional sources such as coal, especially in the immediate term.

An analysis by advisory firm Frans Cronje Private Clients has shown that South Africa cannot aspire to emerging market growth averages over the next decade without a refit of parts of its defunct coal fleet.

The likely future DA leader also discussed the importance of labour market reforms, which he believes are necessary to drive down South Africa's stubbornly high unemployment rate. Hill-Lewis emphasised the rigidity of the country's labour laws, which he views as a barrier to small businesses hiring and growing. He advocates for a flexible labour market that can accommodate both workers and employers, suggesting that changes in these laws would help create more job opportunities, particularly for youth and low-skilled workers.

South Africa’s rate of unemployment remains stuck at levels roughly six times higher than the global average. The Common Sense has repeatedly written on how getting the rate of economic growth up to between 4% and 5% is essential if that rate is to be cut to nearer the global average over the next decade.

Hill-Lewis's vision for governance is rooted in pragmatic coalition politics, where the DA would seek to work with other parties to drive reform. While some critics of the DA’s coalition approach may argue that this dilutes the party's influence, Hill-Lewis sees it as a necessary step in moving the country forward. He has advocated for a Government of National Unity (GNU) as a mechanism to stabilise South Africa’s fragmented political landscape, recognising that the DA alone cannot fix the nation’s challenges without broad cooperation.

A critical question then becomes whether the DA will find an equally pragmatic partner in the ANC to help it in championing these reforms.

Speaking to investors in Cape Town last week, Frans Cronje said that the most realistic prospect of that would be if Patrice Motsepe became ANC leader in December of 2027 (when the ANC holds its next leadership conference).

According to Cronje the Motsepe—Hill-Lewis line-up is a serious proposition to see South Africa pull out of its current low growth rut and rocket to the top end of emerging growth averages through the 2030s. Cronje was notably deeply sceptical of the CR17 hype that surrounded the ANC’s succession from Jacob Zuma, arguing that Ramaphosa was unlikely to champion reform that could lift the rate of economic growth to much over 2%.

The Common Sense has reported at length over recent weeks on the Motsepe campaign and on polling showing that he is the most popular figure in the mind of the broader public to succeed Cyril Ramaphosa. See our coverage here, here, and here.