Chinese Government provides R180 million grant for feasibility studies on Small Harbours Development Project

On March 27, 2023, the Department of Public Works and Infrastructure of South Africa stated that the department had received in kind grant funding of R180 million from the Chinese Government for feasibility studies on the Small Harbours Development Project.

The purpose of the feasibility studies would be to conduct studies on developing new harbors in areas including Port Nolloth in the Northern Cape, Port St Johns in the Eastern Cape and Port Shepstone in KwaZulu Natal.

The chosen areas align with sites proposed in Operation Phakisa, the South African government's initiative aimed at developing the economic potential of South Africa's oceans and coastal areas. There is some uncertainty as to if funding was actually committed.

The Small Harbours Development project was named a priority project under the Forum for China-Africa Cooperation for South Africa after the 2018 Beijing summit.

During the China-Indian Ocean Region Forum on Development Cooperation on 7 and 8 December 2023, South African Minister of Public Works and Infrastructure Sihle Zikalala was to sign an exchange of letters on the project with the China International Development Corporation Agency (CIDCA).

According to media reports, in July 2024, the South African side asserted the letters were never signed, and there is no CIDCA involvement in the project. However, the Chinese Embassy stated that the project was still in process pending approval from the South African side.

Concerns were raised that some of the proposed harbor sites would be too close to iSimangaliso Wetland Park and could endanger its Marine Protected Area.