Investment in South Africa


For an overview of the investment process, opportunities, incentives schemes and reasons why South Africa remains one of the worldˇ¦s most attractive investment destinations.

 Why Invest in South Africa?

South Africa is one of the most sophisticated and promising emerging markets globally.

South Africa is ranked by the World Bank as an ˇ§upper middle-income countryˇ¨. South Africa is the second largest economy in Africa. In 2014, the World Bank listed its GDP at $350.1-billion (R5.416-trillion) and its population at 54 million. Per capita GDP is $6 483, according to the World Economic Forum.

The World Economic Forum's Global Competitiveness Report of 2015-2016, South Africa is ranked 49th in its Global Competitiveness Index out of 140 economies, up from 56th in the previous reporting period. It ranked the country first for strength of auditing and reporting standards as well as financing through local equity market. South Africa was also ranked 12th for financial market development; it ranked 29th for market size, 33rd for business sophistication and 38th for innovation, out of 140.

The World Bank Groupˇ¦s report; Doing Business 2015, ranked South Africa 73 out of 189 economies, in terms of the ease of doing business.

Political and macroeconomic stability: South African is politically stable and has a well capitalised banking system, abundant natural resources, well developed regulatory systems as well as research and development capabilities, and an established manufacturing base.

One of the main reasons for South Africa becoming one of the most popular trade and investment destinations in the world is due to the country ensuring that it can meet specific trade and investment requirements of prospective investors.

The potential of the South African economy is evident in its diversity of sectors and industries. It offers world class clusters in environmental technologies, ICT, transport equipment, creative industries and financial services.

South Africa possesses a large resource base of skilled, semi-skilled and unskilled labour. The South African government has introduced wide-ranging legislation to promote training and skills development and fast-track the building of world-class skills and competences.

South Africa has very competitive labour costs. For professional jobs, labour costs are less than half of the cost of European countries. For manufacturing jobs, labour costs are around 1/3 cost of Europe.

South Africa boasts one of the most modern and extensive transport infrastructures in Africa and boasts a world class financial infrastructure

World class research and development - with more patents by foreign companies than any other country in Africa or Eastern Europe

South Africa Yearbook 2014/15