Cash Me If You Can: South African MSMEs' Audacious Treasure Hunt

GRAB your flying drone with the eye of an eagle and a robust pair of Shosholoza gumboots, because South Africa’s micro, small, and medium enterprises (MSMEs) are once again marching through the African financial jungle in search of the elusive Goose that lays legendary Kruger Rands.

- BONGANI NTOMBELA

Having wrapped up May with a modest 0.25% reduction in repo rates from our responsible uncle, the Reserve Bank, Governor Lesetja “Data Dependent” Kganyago, we also acknowledge the release of the Finfind South African MSME Access to Finance Report 2025, where MSME data meets the risk profile drama and access to funding proves elusive.

According to the report, over 70% of MSMEs in South Africa earning revenue below R1 million per annum are still struggling to secure formal finance. Yes, you read that right; the MSME economic genocide (Mr Trump, please check this one out, too). Despite all the glossy brochures and heartwarming "We Support Township Economy" slogans, most entrepreneurs still see no light at the end of the business loan tunnel.

The report affirms that MSMEs aren't just part of the South African economy — they are its favourite black tax family member. They hustle hard, contribute over 40% to SA’s GDP, and employ more than 60% of the nation (yes, including your white cousin with his last-mile delivery bakkie). Despite MSMEs carrying more than one-third of the GDP, the golden egg bowl is mysteriously missing from the funding game for startups and early-stage businesses.

The report confirms that the demand for business loans is sky-high, but the supply is dololo (non-existent). Even more concerning is that inclusive startup finance packages don’t even make the top 10 list of offerings from most funders.