South Africa’s small and medium enterprises (SMEs) are increasingly demonstrating real digital sophistication in the way they do business. South African online payment acceptance of those surveyed is among the highest in the EEMEA region at 80%, and most businesses in the study already rely on dedicated business cards to manage their spending. The Mastercard study shows that, even as they navigate an evolving economy, half of South African SMEs are optimistic about the year ahead and 43% expect their revenue to grow.
The Mastercard SME Confidence Index is a multi-market study that captures the sentiment, priorities and growth outlook of SMEs across Eastern Europe, the Middle East and Africa, including South Africa.
South African SMEs that took part in the survey demonstrate a strong digital foundation. Alongside high online payment acceptance (80%), bank transfers are well established and account for the majority (64%) of transaction volumes. Businesses see the greatest potential for growth in providing simple, seamless and user-friendly payment methods (55%), closely followed by ensuring safe and cyber-secure payment processing (51%), pointing to a clear focus on both convenience and trust.
“South African businesses are operating with a level of digital and commercial maturity that positions them strongly within the region. They have embraced online payments, they manage their finances through dedicated business tools and they are clear about where their next opportunities lie. Our role is to keep working alongside them, providing the secure and seamless solutions that help them turn that sophistication into sustained growth,” said Gabriel Swanepoel, division president, Africa, Mastercard.
This blend of digital strength and forward thinking is opening up new opportunities for South African businesses as they plan their next phase of growth.
“Entrepreneurial businesses across the region continue to demonstrate resilience, adaptability and ambition. As they navigate change, their increasing focus on digital capabilities and access to finance is opening new pathways for sustainable growth, helping them compete more effectively in an increasingly connected marketplace,” said Onur Kursun, executive vice president, Commercial and New Payment Flows, EEMEA, Mastercard.
Resilience in a changing economy
South African SMEs are navigating a demanding economic environment with characteristic resilience. While inflation has weighed on many businesses over the past year, entrepreneurs are drawing confidence from the progress they see around them. Almost two-thirds (64%) of study participants point to technological progress as a positive influence on their business, and 55% cite the growing application of artificial intelligence and machine learning, suggesting growing openness to innovation.
A foundation of commercial maturity
One of the key strengths observed in the study is its commercial maturity. The vast majority of SMEs (85%) use a business debit or credit card to manage their expenses rather than a personal card, giving them better visibility and control over their finances. This established discipline strongly positions South African businesses to take advantage of more sophisticated financial tools and credit solutions as they scale.
Investing in growth and capability
As they look ahead, South African SMEs are focused on the building blocks of long-term growth. Beyond seamless and secure payments, they identify training and upskilling their teams as a key priority, alongside effective regulatory support and stronger physical and digital security. Almost a third (30%) sought external funding in the past year and 31% are looking for additional credit to invest in their businesses, underlining a clear appetite to grow.
As South Africa’s SMEs build on their digital strengths and commercial discipline, the Mastercard SME Confidence Index highlights both their resilience and their readiness to seize new opportunities. By combining digital innovation and capability building, Mastercard remains focused on supporting SMEs as they scale and contribute to a more inclusive and dynamic digital economy.
About Mastercard
Mastercard powers economies and empowers people in 200+ countries and territories worldwide. Together with our customers, we’re building a resilient economy where everyone can prosper. We support a wide range of digital payments choices, making transactions secure, simple, smart and accessible. Our technology and innovation, partnerships and networks combine to deliver a unique set of products and services that help people, businesses and governments realize their greatest potential.
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