The Afrimat Construction Index (ACI) for the 3Q25 in South Africa shows a strong rebound, recording an impressive double-digit QoQ rise and reversing the previous downward trend in the four-quarter average. Compiled by economist Dr Roelof Botha, the ACI tracks activity across the building and construction sectors and reflects broad-based improvement.
Dr Botha notes that most indicators posted double-digit growth, with building material production achieving one of its strongest annual and quarterly increases. A 25-basis-point cut in the prime overdraft rate also supported higher values in building plans passed and hardware retail sales. Construction activity outpaced overall GDP growth for the quarter, although it remains below last year’s levels. Only one indicator—the value of construction works—failed to grow, highlighting ongoing concerns over weak capital formation and the urgent need for national infrastructure upgrades.
Botha remains optimistic, expecting continued recovery as interest rates ease further. Afrimat CEO Andries van Heerden echoes this confidence, attributing the group’s improved performance to its strategic Lafarge acquisition, rising provincial and private sector spending, and the reopening of previously idle quarries. With the Lichtenburg cement plant reaching break-even and demand for aggregates and cement staying robust, Afrimat believes public-private collaboration will be key to sustaining growth and strengthening South Africa’s infrastructure future.
