• South Africa’s direct investment outflows dropped to 21 billion rand ($1.25 billion) in Q3 2025
• Anglo American’s exit from Valterra Platinum drove the sharp quarterly decline
• Foreign inflows rose in entertainment as Canal+ took control of MultiChoice

South Africa recorded direct investment outflows of 21 billion rand, or about $1.25 billion, in the third quarter of 2025, compared with 73.5 billion rand in the previous quarter, according to data released by the South African Reserve Bank (SARB) on Monday, December 15, 2025.

The central bank said Anglo American, a global mining group, drove the decline by selling its remaining shareholding in Valterra Platinum Limited.

On the inflows side, South Africa recorded increased foreign investment in the entertainment industry during the quarter.

The SARB said the rise coincided with French media group Canal+ taking control of South African broadcaster MultiChoice in the third quarter, supporting inbound direct investment flows.

Portfolio investment inflows into South Africa also declined during the period.

The country recorded portfolio investment inflows of 40.7 billion rand, down from 69.4 billion rand in the second quarter.

“The non-residents purchased 42.7 billion rand of debt securities in the third quarter of 2025, compared with 30.4 billion rand in the second quarter, while they sold 2.1 billion rand of equity securities, compared with 39 billion rand of purchases during the same period,” the SARB said.

Non-resident purchases of domestic debt securities were partly offset by a government operation.

The South African government repurchased a $2 billion international bond during the third quarter of 2025, which reduced the net impact of foreign debt inflows.

European countries traditionally rank among South Africa’s most active investors, including the United Kingdom, the Netherlands, Belgium, Germany and Luxembourg, alongside the United States, Japan, China and Australia.

Investors channel most capital into finance, mining, manufacturing, transport and retail.

South Africa continues to position itself as an attractive investment hub, supported by well-regulated capital markets, a strategic regional trade location, strong industrial capabilities, and a robust legal system.

However, the country continues to face major challenges. Persistent energy shortages, marked by load-shedding and power outages, undermine investment confidence by constraining economic growth. A shortage of skilled labour also weighs on the investment outlook.

Lydie Mobio