Small businesses in South Africa are looking to Africa for growth as local market conditions remain constrained.
This is one of the findings of the Nedbank Small Business Index, which last night released figures for the fourth quarter of 2013.
According to the Index, 31% of businesses indicated they would like to expand into international markets in the next year.
Of these, 48% intend to focus on exports only; 10% on imports only; and the balance will look at both.
Of those looking beyond South Africa’s borders, 64% are focusing on Africa, with 16% eyeing Asia and Australia, 9% Europe and 9% the Americas.
The Nedbank Small Business Index is a quarterly survey-based index that provides measurable assessment of the small business sector in South Africa.
Interestingly, 24% of small businesses are already doing business internationally.
“There is definitely a perception that Africa is where it’s at, and where we bring competitive advantage,” says Dennis Dykes, chief economist at the Nedbank Group.
