South Africa Reports FDI Inflows in Q4

South Africa saw a net outflow of ZAR 73.5 billion in foreign direct investment (FDI) in Q2 2025, a sharp reversal from inflows of ZAR 11.7 billion in the previous quarter, according to central bank data. This marked the largest outflow since available records began in Q1 1985, mainly attributable to Anglo American’s divestment of its platinum unit, now operating as Valterra Platinum. Conversely, portfolio investments shifted to inflows of ZAR 69.4 billion from outflows of ZAR 53.7 billion in Q1, mainly due to the distribution of shares in Valterra Platinum to non-resident shareholders of Anglo American.

South Africa attracted ZAR 11.7 billion in foreign direct investment (FDI) in Q1 2025—the highest level since Q2 2024—up from ZAR 7.5 billion in the previous quarter, according to central bank data. The increase was driven by non-resident parent companies boosting equity stakes in their domestic subsidiaries. On the other hand, portfolio investments shifted from inflows of ZAR 33.4 billion in Q4 2024 to outflows totaling ZAR 53.7 billion, mainly due to non-residents' net disposal of domestic equity securities and the redemption of an international bond by a public corporation.

South Africa recorded foreign direct investment (FDI) inflows of ZAR 7.5 billion in Q4 2024, compared to outflows of ZAR 3.2 billion in Q3, driven by increased equity investments from non-resident parent companies, according to central bank data. Portfolio investments inflows totaled ZAR 33.4 billion, smaller than ZAR 45.6 billion in the previous period. Non-residents' net acquisition of debt securities, including $3.25 billion from the national government's two international bonds, surpassed their sale of equity securities.