South Africa is emerging as one of the most attractive business hubs on the continent, with global firms expected to expand their operations in the country by 45 percent by 2030. This projection reflects renewed confidence in Africa’s most industrialised economy, despite persistent challenges around energy supply, logistics, and regulatory frameworks.
Analysts highlight several factors driving the surge. South Africa’s strategic location as a gateway to the broader African market, coupled with its developed financial and legal systems, makes it a prime destination for multinational growth. Recent reforms targeting investment bottlenecks, including efforts to stabilise the power sector and improve port efficiency, have also reassured foreign investors.
The rise of the African Continental Free Trade Area (AfCFTA) further positions South Africa as a launchpad for cross-border trade and regional integration. As firms seek scale across Africa’s 1.4 billion-strong consumer base, South Africa’s established infrastructure and skilled workforce provide a competitive edge.
Sectors set to benefit most from the expansion include financial services, technology, manufacturing, and renewable energy. International companies are also expected to deepen partnerships with local firms, creating opportunities for supply chain development and job creation.
While the outlook is optimistic, experts caution that sustaining investor momentum will require consistent policy clarity, energy stability, and measures to tackle inequality. If these hurdles are managed, South Africa could secure its place as the continent’s anchor for global investment and corporate growth.