South Africa has long been a destination for Swedish companies from a robust collection of industries.   With a GDP of USD 403 billion, it’s an attractive economy for many international companies, but especially those looking for a strategic foothold for expanding into other African markets.

This report presents the sixth edition of our Business Climate Survey of Swedish companies

operating in South Africa. It shows that despite a slightly adverse business climate sentiment, 66 per cent of Swedish firms operating in South Africa reported profitability. Additionally, 19 per cent of the responding companies were newcomers to the market, an indication of potentially renewed interest in the region.

Following its 2024 national elections, South Africa saw the establishment of a new coalition, the Government of National Unity, and entered a new phase of political and economic stabilisation. The shift has fostered renewed optimism among investors, citizens, and private sector stakeholders.

The ‘Swedish brand’ continues to drive business success for companies seeking to establish and grow their presence in South Africa. Overall, the findings indicate that the Swedish image remains a significant asset. Many respondents report that their South African partners closely associate Sweden with high-quality engineering, environmental responsibility, ethical business conduct, and innovation.

South African consumers and businesses are growing more environmentally conscious. Sustainability has become an essential business imperative, and Swedish companies are well-positioned to lead in related areas like clean technology and circular economy practices.

Want to read a full overview of the survey results with detailed analysis? Download the report today.

ABOUT THE SURVEY 

To gain a deeper understanding of the experiences and perspectives of Swedish companies operating abroad, Team Sweden conducts annual Business Climate Surveys in markets around the world. This year’s Business Climate Survey for South Africa was conducted with the participation of 32 Swedish companies active in the South African market. The respondents featured a range of business profiles and sizes.

We extend our sincere appreciation to all participating companies for their valuable contributions to this year’s edition of the Business Climate Survey in South Africa. Team Sweden is proud to contribute to a shared vision of a more transparent, resilient, and prosperous business environment in South Africa.