In the fourth quarter of 2023, South Africa experienced a decrease in foreign direct investment (FDI) inflows, with 16.2 billion rand ($856.67 million) recorded, down from 26.0 billion rand in the previous quarter.
The South African Reserve Bank’s Quarterly Bulletin revealed that for the entire year of 2023, FDI inflows amounted to 96.5 billion rand, a decline from 151.0 billion rand in 2022. This decrease was attributed to a slowdown in equity investment by foreign parent companies in domestic firms.
Additionally, portfolio investments in South Africa showed a decrease in outflows, with 9.0 billion rand recorded in the fourth quarter of 2023, compared to 41.9 billion rand in the previous quarter. However, cumulative portfolio investment outflows for the year totaled 87.5 billion rand, indicating a reversal from the inflows of 42.6 billion rand seen in 2022.
Source: Reuters