South Africa is one of the best places in the world to invest in today. It’s a promising emerging market that is strategically situated.
What’s more, this country is a member of the Brazil, Russia, India, China, and South Africa group (BRICS).
In the Global Competitiveness Index of the World Economic Forum, it scored 62nd out of 137 nations in regard to overall competitiveness.
Also, South Africa ranks well in investor protection (in the 21st position). Here, we’ll explore more on why the country is a great place to invest:
It has many natural resources
The economy of this nation was built on natural resource extraction. South Africa (SA) is well known for producing diamonds & gold. These resources mark a great share of the country’s overall GDP. In addition to gold and diamond, South Africa has 72% of chrome, 27% of Vanadium, 88% of platinum-group metals & 80% of global manganese reserves.
In addition to this, it has significant deposits of base metals like nickel, copper, iron, coal, and natural gas. All these ensure that the country is an incredible place to invest in—because of the flow of money.
It is an innovation and tech hub
South Africa is one of the most innovative countries in the whole of Africa. The Global Innovation Index ranks it in the first position. What’s more, SA is the second best country in Africa in terms of intellectual property rights.
This innovative and tech hub makes it one of the best places to invest in. Furthermore, the tech hub in South Africa is incredible. You can easily operate a venture such as casino online Belgium or any other online venture in the world easily from the comfort of the country.
It’s the second largest economy in Africa
SA is only exceeded by Nigeria in Africa—which has 3X the population size of South Africa. Furthermore, in many aspects, it ranks first. The World Bank labels it as an “upper middle-income country.”
In addition, out of the over 400 companies in Africa earning more than $1bn annually, SA owns half. However, South Africa is highly divided. It has parts where there is extreme poverty and others where there is extreme wealth. This division makes it an interesting economy with incredible possibilities in several segments.
It has a growing middle class
South Africa has experienced rapid economic growth ever since the decline of the Apartheid. And in recent years, the nation’s black middle class has grown significantly. This group of people has a purchasing power that’s constantly increasing.
What’s more, the high and middle-income groups are expected to rise as the nation’s economy grows. This ensures that investors can expect returns when they invest in South Africa.
In Conclusion
If you are planning to invest in Africa, South Africa is the place to be. As you can see from above, the country has favourable conditions for investment. Its economy is second to Nigeria’s, but it ranks first in many things, like being an innovative country. So, you can leverage the robust economy to invest and enjoy a substantial return on investment.
