- A recent World Bank report notes the pressing need for more classrooms and increased private sector participation in the Western Cape’s education system.
- By rolling out the red-carpet for private players, we can tap into valuable financial resources and expertise to give our education system a big shot in the arm.
- Government policies that encourage private investment in education will boost learning opportunities and drive economic growth.
By Wrenelle Stander
South Africa's economic future largely depends on developing a well-educated, skilled, and adaptable talent pool, which calls for comprehensive support for the education sector. For this to happen and to create a more resilient and effective education system, greater collaboration between the public and private sectors is a must. The business community has direct interest in this—today’s students are tomorrow’s talent. By investing in education now, the private sector will be contributing significantly to the country's long-term stability and progress.
For the private sector to play a greater role in advancing education, the government needs to push policies that genuinely encourage investment— including streamlined processes that make it easier for businesses to participate. This investment benefits both the economy and education by driving job creation and boosting skills development. Companies, foundations, and small businesses can make a big impact by providing financial support, expertise, and resources alongside public initiatives.
A recent World Bank report, commissioned by the Western Cape Government, draws attention to the need for increased private sector involvement to improve the education system. Even though the Western Cape outperforms other provinces, the report shows it still faces a learning crisis, with 55% of Grade 4 learners being functionally illiterate in 2016—a situation that worsened after COVID-19 closures in 2020. The province will need 2,900 additional classrooms and 3,200 more teachers by 2030 to meet the demands of a growing student population, driven by migration and population growth in the Western Cape.
Given the fiscal constraints government faces, collaborating with business is critical to tackling these challenges and boosting investment in education. Well-structured public-private partnerships (PPPs), as underlined in the World Bank report, can be a game-changer. These collaborations can bring much-needed financial resources, innovation, and industry expertise into schools, thereby increasing educational standards. Private sector support can range from investing in infrastructure to offering teacher training and vital resources.
Wesgro, the official tourism, trade, and investment promotion agency for Cape Town and the Western Cape, is championing this approach through Edu Invest—a public-private partnership initiative launched in 2023 in collaboration with the Western Cape Education Department. This initiative aims to attract investment in education, create new opportunities with a particular focus on affordable private independent schools, and drive innovation to improve access to quality education. This will result in sustainable impact that will ease overcrowding in public institutions, and improve overall educational outcomes. As highlighted by the recent World Bank report, now is the time to focus on innovative education reform, particularly through PPPs, to tackle the learning crisis, recover from COVID-19-related learning setbacks, and maximise the high returns of education. PPPs are not new to the province; the provincial government has long supported school choice, encouraged innovation through Wesgro, subsidised some independent schools, and invested in collaboration schools. With the dual pressures of expanding the education system and improving learning outcomes, scaling up these innovative partnerships is both timely and necessary, as the report points out.
Ramping up investment
Businesses can make a greater impact by including more educational investments into their corporate social responsibility (CSR) strategies. This approach aligns corporate priorities with impact opportunities that serves the public while also preparing students to face the challenges of a continually changing market. Another viable approach is a collaborative school management model, which involves private organisations and the government sharing some responsibilities. For example, a business could take the lead in terms of upgrading school infrastructure, while the government handles academic and administrative oversight.
Private enterprises can also play an important role in advancing education by offering access to vital resources such as internet connectivity and digital learning platforms. Similarly, businesses can invest in teacher training programmes, particularly in high-demand subjects like mathematics and science, which will strengthen the overall quality of education and help develop a strong skills pipeline.
Innovation is a significant advantage the private sector brings to education. Companies operating in competitive environments are frequently adept at utilising technology, simplifying procedures, and implementing new teaching methods. By integrating these practices into public education, we can build a more efficient system that meets the different requirements of all students and the demands of the economy.
Lessons from abroad
Public-private collaborations can open up new opportunities, encourage innovation, and help build a more equitable and sustainable education system. Countries that have adopted such strategies have seen considerable improvements in educational outcomes, providing a valuable roadmap for South Africa.
The UK’s Academies programme, for instance, demonstrates how public-private partnerships can transform education. These publicly funded schools operate independently of local authority control and often receive sponsorship from businesses and charities. This support has resulted in higher student achievement, particularly in previously struggling schools.
In India, CSR rules mandate larger corporations to allocate a percentage of their revenues to social development, including education. This policy has significantly boosted funding for education, particularly in rural areas. Companies like Infosys and Tata have built schools and provided necessary resources, resulting in increased literacy rates.
Kenya's Bridge International Academies is a model for affordable education in marginalised areas by operating low-cost private schools in concert with government and communities. The model provides high-quality education at a fraction of the price of traditional schools by using technology and a standardised curriculum.
Charter schools in the U.S, highlighted in the World Bank report, are another prime example of a public-private cooperation in which privately run schools receive public funds. These schools frequently have greater freedom than typical public schools, resulting in significant improvements in outcomes, particularly in underserved urban areas.
Strengthening education is about preparing young people for a rapidly evolving world and creating a sustainable skills pipeline that supports economic growth and social stability. By working together, the public and private sectors can help ensure that every student in South Africa, no matter their background or situation, has a fair chance to succeed. This not only benefits individuals but also strengthens the economy as a whole.
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Stander is CEO of Wesgro, the official agency that is mandated to promote tourism, trade and investment in Cape Town and the Western Cape.
*This article was first published by News24