After the scrapping of pass laws in 1987 many black people, mainly Xhosas, moved into areas around Cape Town in search of work.

In 1983 and 1984, conditions in squatter camps like Crossroads and KTC worsened and exacerbated by official policing policy in which homes were destroyed[7] and the emergence of the Witdoeke, led by "Mayor" Johnson Ngxobongwana.

[12] The Western Cape was a preference area for the local coloured population, and a system called influx control was in place to restrict Xhosas from travelling from the Transkei by requiring a permit.

After the historic 1994 elections, hundreds of thousands moved to urban areas in search of work, education or both.

[13] In 2018, according to Dr Gio Perez, Chief Director for Metro Health Services it is estimated the population has grown to just under 500 000 people.

[15] During a commission of inquiry in 2014, Professor Charles Simkins, a leading South African demographer who served on the Statistics Council for a decade, defended the census data and its methodology which evaluated the number of inhabitants was between 370 000 and 426 000 in 2011.

[16] The ethnic makeup of Khayelitsha is approximately 99.5% Black African, 0.47% Coloured and 0.03% White, with Xhosa being the predominant language of the residents.

[22][23] Since the ruling ANC came to power in the country in 1994, the party claims that living conditions in the township have improved markedly.

[24] in 2013, on New Year's Day, the township experienced a fire that resulted in the deaths of three people, with 4000 residents being left homeless as their shacks were burned to the ground.

[27] These areas are mostly made up of bank bond housing[clarification needed] and are home to middle-class / upper working class populations.

They include Site B (which is further subdivided into the K-Z sections in continuation of the original A-J sections respectively and TR, QQ, RR and BM informal settlements), Site C, Green Point, Litha Park, Mandela Park, Makaza, Makaya and Harare.

[24] The growing number of entrepreneurs in the township are ably supported by organisations such as the Patrice Motsepe Foundation and Caban Investments (through their Qinisanani initiative) and HubSpace.

As Cape Town's largest township, Khayelitsha attracts funding from international aid agencies.

A number of partnerships with international companies, governments and NGOs have been set up: Khayelitsha has a good transport infrastructure.

Trains in Khayelitsha have not operated since June 2019 due to cable theft that is currently occurring on the Central Line all the way to Langa Station.

These health facilities are managed and operated by the local government authority of the City of Cape Town.

Seskhona Peoples' Rights Movement which was formed to continue with the struggle for sanitation in the most disadvantaged areas in Cape Town.

African National Congress Youth League, led by Sibusiso Zonke and Buyel' embo village, in Mandela Park, is an entertainment place where events are held.

[47] An Australian rules football development program conducted by the AFL South Africa also operates in the township.

Bayanda Sobetwa became the first South African to be signed to an AFL club, when the Greater Western Sydney Giants offered him a SportsReady traineeship in 2010.