The last eight started on Saturday with giant-killers Casric Stars beating Betway Premiership side AmaZulu 2-1.
The Motsepe Foundation Championship side had previously overcome Orlando Pirates on penalties in the last 16.
Fellow National First Division team Milford then defeated top-flight team Sekhukhune United 3-2 on penalties after their game ended 2-2 after extra-time.
TS Galaxy were too strong for ABC Motsepe team Jacksa Spears and claimed a comfortable 2-0 win on Sunday as Durban City saw off Arrows 5-4 on penalties, following their 1-1 stalemate.
The draw ensured that a first division team will compete in the final as Galaxy were paired with Milford, as Durban City were drawn with Casric Stars in their semi-final.
Of the four semi-finalists, only TS Galaxy have lifted the coveted trophy, in the 2028/19 season, beating Kaizer Chiefs in the final.
Semi-final draw
TS Galaxy v Milford FC
Durban City FC v Casric Stars
Cape Town City Chairman John Comitis says it is great for local football to have two Motsepe Foundation Championship teams in the semi-finals of the Nedbank Cup.
Nedbank Cup quarter-final heroics saw Durban City coach Pitso Dladla turn to prayer during a tense penalty shootout against Golden Arrows on Sunday.
Eric Tinkler has dismissed suggestions that Sekhukhune United underestimated Milford following their dramatic exit from the Nedbank Cup on Saturday evening.
Durban City secured their place in the semi-finals of the Nedbank Cup with a 5-4 penalty shootout win over Golden Arrows on Sunday.
