Khayelitsha leaders say extortion cripples business and services
Community leaders say extortionists force some Khayelitsha businesses to hand over up to 20% of their earnings. They say threats also disrupt clinics and other services, and the City of Cape Town says extortion adds millions of rands to its yearly costs.
Mawande Jwara, chairperson of the Khayelitsha Development Forum, said the forum receives extortion complaints daily. He said: "We get that on a daily basis. To say weekly, I would be understating it." He said extortion makes it harder for businesses to operate freely and discourages investment.
Jwara said ambulances, clinics and other government services sometimes cannot work normally. He said a clinic in Town Two closed for almost two weeks earlier this year because of extortion threats. He also said the deployment of the defence force has not changed the situation.
Mpumzi Mange of the Khayelitsha Community Trust said some operators face demands of 20% or 15% of income. He said those who do not pay face shootings. Khayelitsha has about 3,500 informal businesses.
City Safety and Security MMC JP Smith put the City's operational costs linked to extortion at over 300 million a year. The City recorded more than 56 extortion-related challenges on its projects since the start of the year. Its safety department gets about 800 requests a month for security escorts.
Key facts
- Who
- Mawande Jwara (Chairperson of the Khayelitsha Development Forum); Mpumzi Mange (Community liaison officer at the Khayelitsha Community Trust); JP Smith (City Safety and Security MMC, City of Cape Town); Khayelitsha Development Forum (Community body that receives extortion complaints)
- What
- Community leaders in Khayelitsha say extortionists are forcing some businesses to pay up to 20% of earnings, and that extortion threats are disrupting municipal and health services. The City of Cape Town says extortion adds millions of rands in annual costs, including for security escorts.
- When
- 23 October 2026
- Where
- Khayelitsha, Cape Town, Nyanga
- Status
- Reported