The Mastercard SME Confidence Index focuses on digital payments and innovation, financial resilience and growth, digital inclusion and sustainability.
The latest Mastercard SME Confidence Index findings reveal that small and medium enterprises (SMEs) in South Africa are accelerating their digital transformation, as nine out of ten small businesses accept digital payments.
Dimitrios Dosis, president of Eastern Europe, Middle East, and Africa at Mastercard, said the findings also show that most small business owners in the country are seeking new growth opportunities through strategic private-sector collaborations. Sustainability is a priority.
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Adoption of digital payments
He said the findings highlight the increasing shift towards contactless transactions to enhance efficiency, security, and business credibility.
Businesses see seamless supplier payments (89%), more efficient multi-channel transactions (87%), and quicker access to revenue (72%) as the most significant advantages of digital payments.
“SMEs’ ability to adapt and grow in a rapidly evolving business landscape reflects the strength of an ecosystem that prioritises access to finance, digital enablement, and sustainable growth.”
Digital payments at the core of SME expansion
Dosis added that SMEs are starting to see the benefits of digital transactions in enhancing business efficiency because the country’s economy continues to digitalise.
The findings also reveal that 79% of SMEs aim to expand their digital payment capabilities across multiple channels, while 62% prioritise sustainability initiatives and 60% focus on enhancing cybersecurity to strengthen their businesses.
“As confidence in growth remains steady, 74% of South African SMEs anticipate maintaining or increasing their revenue this year compared to last year.”
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SMEs plan growth with ESG measures
Mark Elliott, division president of Africa, Mastercard, said more than half of their respondents said they are looking ahead with growth in mind, with one in three planning to secure credit to support expansion.
“As businesses scale, 55% identify increasing their sustainability footprint as a key operational priority for the year.
“SMEs in the country identify team management and upskilling (92%), effective regulatory support (90%), and implementing sustainable practices and enhancing Environmental, Social, and Governance (ESG) performance (88%) as the top areas where they require support to drive long-term success.”
Mastercard SME Confidence Index
The Mastercard SME Confidence Index is a report that tracks the sentiment and outlook of SMEs across various regions, particularly in Africa and the Middle East, focusing on their digital transformation, financial resilience, and growth prospect
The index was established to provide tailored payment solutions, access to financing, and business education programs that empower SMEs to navigate challenges and seize new opportunities.
It focuses on digital payments and innovation, financial resilience and growth, digital inclusion and sustainability.
