Small and medium-sized enterprises (SMEs) are a crucial driver of South Africa’s economy, contributing an estimated 40% to the Gross Domestic Product (GDP). Recognizing their importance, the Johannesburg Stock Exchange (JSE) is dedicated to supporting SME growth through various initiatives aimed at providing mentorship, training, and capital-raising opportunities.
Cleola Kunene, Head of SME Development at the JSE, emphasizes the exchange’s commitment to fostering meaningful partnerships to facilitate significant and sustainable growth in the SME sector. Leveraging their extensive experience and networks, the JSE aims to assist SMEs effectively.
One such initiative is the Enterprise Acceleration Programme, tailored to medium enterprises. This program offers comprehensive support, including access to mentors, advisors, educational resources, and networks, to accelerate growth and facilitate funding. In 2023, participants in this program experienced an average revenue increase of 22% and collectively raised R1.02 billion in capital injection.
Highlighting the pivotal role played by SMEs in job creation, with expectations to generate 90% of 11 million new jobs according to South Africa’s National Development Plan, Kunene shares success stories like Lebatho Exploration, which grew from three employees to 108.
The JSE also collaborates with government entities, such as the Western Cape Government Department of Economic Development and Tourism (DEDAT), to launch multi-year SME development programs. These initiatives aim to stimulate SME growth through events like Capital Matching, where SMEs engage with potential funders to secure funding.
Looking ahead, the SME Capital Matching Initiative will expand its reach beyond the Western Cape to include the Free State and the Northern Cape. Kunene emphasizes the robust nature of South Africa’s SME landscape, urging companies to conduct thorough research to tap into the numerous growth opportunities available.
Overall, the JSE remains committed to supporting SMEs through various initiatives and invites interested parties to participate in the SME Capital Matching Initiative and learn more about the JSE Enterprise Acceleration Programme.
