South Africa’s struggling State Information Technology Agency (SITA) risks exposing government departments to cyber threats and data security breaches if it fails to urgently address long-standing governance and operational failures, a new Public Service Commission (PSC) investigation has warned.
The commission says the agency’s continued decline poses a serious threat to government’s digital infrastructure, cautioning that SITA’s inability to modernise could ultimately undermine national security and the delivery of critical public services.
‘SITA must transform urgently’
“Should SITA not transform into a fully digitised, holistic ICT service delivery structure across organs of state, it may result in vulnerabilities to cybersecurity and data governance for organs of state,” according to the commission.
The warning is contained in a PSC report examining governance, procurement, consequence management and organisational challenges at SITA between 2020 and 2025. The report was released in Pretoria on Monday by Communications and Digital Technologies Minister Solly Malatsi and PSC chairperson Professor Somadoda Fikeni.
Critical stage
According to the commission, the agency has reached a critical stage after years of governance instability, procurement failures and operational shortcomings that have weakened its ability to support government’s digital transformation agenda.
The report cautions that “should SITA be deemed irrelevant in its entirety, it will have devastating consequences on the economy and national security, as many critical systems supporting citizen-centric services are hosted by SITA.”
Investigators found that SITA’s existing funding model, combined with persistent governance failures and procurement inefficiencies, has left the agency unable to deliver modern, reliable and cost-effective ICT services to government institutions.
According to the report, “SITA’s funding model… together with significant governance, procurement and other operational failures, have led to the organisation’s inability to provide relevant, fast and effective value for money ICT services, impactful innovations, providing tailored local in-house products and modernising digital platforms across organs of state.”
Confidence in the agency has deteriorated
The PSC also found that confidence in the agency has steadily deteriorated across government, with departments increasingly looking for alternatives to SITA because of repeated procurement delays, escalating costs and poor service delivery.
It states that “The above factors have further contributed to the loss of public trust in SITA, organs of state deviating from using SITA’s services for its ICT requirements and the strategic relevance of SITA being placed at risk.”
The report references a 2024 board performance evaluation, which concluded that SITA had reached “a tipping point” and warned that “unless there is major transformation the organisation will no longer be a going concern.”
The investigation notes that several government institutions have openly raised concerns about the agency’s performance, including the Department of Home Affairs and the South African Police Service, which have complained that procurement delays and service failures have slowed major digital modernisation projects.
Home Affairs wanted to cut ties
Home Affairs has been among SITA’s strongest critics. The department previously sought to separate from the agency, arguing that poor performance and the high cost of ICT services were undermining its efforts to modernise its systems.
Its 2025/26 Annual Performance Plan also highlighted frequent system outages, prolonged procurement processes and rising IT costs linked to its reliance on SITA, warning that these challenges were placing additional pressure on an already stretched budget.
The PSC found that customer satisfaction has also continued to decline. SITA’s customer satisfaction rating dropped from 56% in 2023 to 48% in 2025, with departments citing procurement delays, connectivity challenges, weak governance and poor service delivery as key concerns.
Need for stronger cybersecurity measures
Respondents participating in investigations also identified stronger cybersecurity measures as one of the agency’s most urgent priorities.
The commission says incremental changes will not be enough to restore the agency and has called for sweeping reforms. These include reviewing SITA’s mandate, governance framework and operating model, strengthening oversight, stabilising leadership and overhauling procurement systems.
It has also recommended that the board’s composition be reassessed to ensure it has expertise in ICT, digital transformation, cybersecurity, enterprise technology, data governance and strategic digital oversight to lead the agency’s recovery.
In response to the findings, Malatsi has instructed SITA’s board to submit a comprehensive recovery plan within 30 business days. The board has also been directed to produce a verified procurement backlog and begin implementing governance reforms within 60 business days.
- South Africa’s struggling State Information Technology Agency (SITA) risks exposing government departments to cyber threats and data security breaches if it fails to urgently address long-standing governance and operational failures, a new Public Service Commission (PSC) investigation has warned.
- The commission says the agency’s continued decline poses a serious threat to government’s digital infrastructure, cautioning that SITA’s inability to modernise could ultimately undermine national security and the delivery of critical public services.
- ‘SITA must transform urgently’ “Should SITA not transform into a fully digitised, holistic ICT service delivery structure across organs of state, it may result in vulnerabilities to cybersecurity and data governance for organs of state,” according to the commission.
- The warning is contained in a PSC report examining governance, procurement, consequence management and organisational challenges at SITA between 2020 and 2025.
- The report was released in Pretoria on Monday by Communications and Digital Technologies Minister Solly Malatsi and PSC chairperson Professor Somadoda Fikeni.
