Foreign Nationals Drive Business Registrations Amidst Rising Tensions

KwaZulu-Natal has emerged as the province with the highest number of business registration applications and approvals from foreign nationals, as government data shows more than 42,000 applications were submitted by June 24.
Photo: Oupa Mokoena / Independent Newspapers via News

South Africa has received 100,733 business registration applications nationally as of June 24, 2026. This substantial number of applications shows a dynamic entrepreneurial landscape within the country. Data shows that a significant number of these applications, totaling 6,749, were approved for businesses where the owner is a foreign national. This indicates a notable contribution from foreign entrepreneurs to the nation's economic activity. The figures reflect ongoing economic interest in establishing businesses within the country, noting both domestic and international engagement in the South African market.

Overall, a total of 100,733 business registration applications had been received nationally by June 24, 2026. Of these national applications, 42,151 were submitted by foreign nationals, representing a considerable proportion of the total. Across the country, 26,367 business applications received approval out of the total submissions. This approval rate reflects the outcome of the registration process for all applicants.

Provincial Application Landscape

Of the 100,733 national business registration applications recorded, 42,151 originated from foreign nationals. This significant number illustrates the widespread intent of foreign individuals to contribute to the South African economy through business ventures. KwaZulu-Natal registered the highest number of business registration applications and subsequent approvals from foreign nationals. This province attracted a significant portion of the applications, indicating a strong interest from foreign investors and entrepreneurs in establishing operations within its borders. The success rate for foreign national-owned businesses in KwaZulu-Natal suggests a conducive environment for such registrations.

Gauteng also recorded a high volume of applications from foreign nationals. However, the province saw comparatively fewer approvals for these applications. This discrepancy between the number of applications and approvals in Gauteng suggests a differing outcome in the registration process compared to KwaZulu-Natal. While foreign nationals are actively seeking to establish businesses in Gauteng, the approval process appears to yield different results than in other provinces. The data notes varying provincial landscapes regarding the success rate of business registrations for foreign nationals, pointing to potential regional differences in regulatory processes or economic conditions influencing approvals. The total number of approved applications where the owner is a foreign national stands at 6,749, contributing to the national economic fabric.

Broader Social and Security Context

Nationwide protests were planned for Tuesday, June 30, 2026, amid calls for foreign nationals to depart the country. These planned demonstrations signal rising social tensions related to migration. Anti-migrant organizations, including March and March, alongside other civil society organizations, urged undocumented foreign nationals to leave South Africa by the same date. This call to action from these organizations has contributed to the heightened atmosphere. Ahead of these planned demonstrations, R600 million, typically allocated to police stations and community policing initiatives, was redirected for security operations. This substantial reallocation of funds supported increased security measures in anticipation of the protests, showing the government's concern for public order. The R600 million is ordinarily allocated to police stations and community policing, indicating a significant shift in resource deployment to manage the anticipated unrest.

In June 2026, four awareness campaigns for the Spaza Shop Support Fund were conducted in Mpumalanga and Gauteng. These campaigns were designed to inform and assist small business owners in the informal sector. These campaigns engaged 131 spaza shop owners and participants, providing information about available support. The direct engagement with these entrepreneurs aimed to ensure they were aware of the resources available to them. Following these efforts, 22 applications were completed for assistance through the Spaza Shop Support Fund, demonstrating a tangible outcome of the outreach initiatives.

Government's Stance and Obligations

Nationally, 26,367 business applications received approval out of the total submissions, reflecting the overall success rate for all business registrants. The Inter-Ministerial Committee (IMC) on Migration briefed the media on Friday, June 26, 2026, regarding various issues, including the government's approach to migration and its implications. South Africa is constitutionally and legally obliged to provide social services, including healthcare and education, to all children within the country, according to the IMC. This obligation extends to all children present in the nation, irrespective of their parents' nationality or immigration status. The government's stance shows its commitment to fundamental rights as enshrined in the country's legal framework, emphasizing that the welfare of children is critical regardless of their background. This commitment notes a key aspect of South Africa's legal and humanitarian responsibilities on the international stage.