Lula sees 'green shoots' for SMEs in South Africa

DESPITE a challenging economic period, there are clear signs of recovery and reason for optimism within the South African small and medium-sized enterprise (SME) landscape.

- ASHLEY LECHMAN

This was according to a recent Lula Pulse Report, which revealed that while many businesses are still operating under tough conditions, there are "green shoots" that point to a more positive future.

“Small and medium-sized businesses are the lifeblood of our economy, employing up to 60% of the private sector workforce and generating approximately 40% of the country’s GDP” Lula’s Chief Risk Officer, Garth Rossiter said.

“We're seeing the mood on the street being surprisingly resilient. Despite the lingering clouds of geopolitical uncertainty, a palpable sense of optimism is taking hold, with both businesses and consumers feeling more confident about the future. There is a fair deal of recognition that, while there is a lot of negative international news, there are few places globally that offer the same business opportunities as South Africa,” he added.