The UK high commission and the JSE have joined forces to provide small and medium enterprises with much-needed funding through the stock market’s private placement platform.
The collaboration is a boost for SMMEs in South Africa, which has some of the highest failure rates of small businesses among developing economies, with up to 80% of SMMEs not making it to their fifth year.
It also underscores the efforts to strengthen ties between South Africa and the UK, and comes as the US government prevents South Africa from participating in this year’s G20 activities. Last week, finance minister Enoch Godongwana and Reserve Bank governor Lesetja Kganyago were unable to join a G20 finance track meeting in Washington after being denied entry into the US.
The high commission told Business Times that for more than a year its UK–South Africa Tech Hub has collaborated with the JSE to deliver the SME Rise Enterprise Accelerator Programme.
“Last week, the fifth iteration of the programme launched, welcoming 12 exceptional start-ups and tech-driven SMMEs. Designed as a 12-month programme, it aims to equip high-potential South African businesses with the tools to become investor-ready, secure funding, and grow sustainably,” the high commission said.
It said the programme provides clear funding avenues through various capital matching activities, including opportunities for local MSMEs to access the JSE’s private placements platform.
A new agreement between South African and UK tax authorities on mutual recognition of authorised economic operators makes it easier for companies to export from one country to the other
— UK high commission
“Through this collaboration, we seek to expand fundraising options for start-ups by connecting them with both capital and alternative financing by leveraging the fundraising expertise of Africa’s largest stock exchange.
“Throughout the past year, the programme has delivered notable results: recent cohorts have achieved double-digit increases in both revenue and employment while collectively securing 65 new contract opportunities.
As a public-private partnership, the initiative combines the JSE’s market infrastructure, the UK government’s networks and support, and private-sector expertise to amplify the impact on local start-ups, the high commission said.
South Africa’s minister of international relations & co-operation Ronald Lamola and UK foreign secretary Yvette Cooper agreed to develop a joint UK-SA growth partnership in 2024, with the two countries striking several agreements to increase co-operation on trade and investment.
“[These include] a new infrastructure partnership launched by UK chancellor Rachel Reeves and public works & infrastructure minister Dean Macpherson under which the UK is supporting the department of public works & infrastructure initiatives to accelerate the delivery of major infrastructure projects,” the high commission said.
It said a new memorandum of understanding between the South African and UK departments of transport and Crossrail International was signed, under which UK experts are supporting the delivery of rail reform under Operation Vulindlela.
“A new agreement between South African and UK tax authorities on mutual recognition of authorised economic operators makes it easier for companies to export from one country to the other.”
On the multilateral diplomatic front, the high commission said the UK continues to engage with South Africa on the G20, including in the context of preparing for the UK presidency in 2027.
Vuyo Lee, director of marketing and corporate affairs at the JSE, said the SME Rise Accelerator Programme has proved to be a powerful catalyst for helping South African SMEs scale, as seen in over 50 companies to date achieving an average growth rate of 43% while expanding their workforce by 30%.
“We are excited to welcome this group as they embark on a journey that will support their expansion sustainably and build resilience while driving job creation and contribution to economic growth,” Lee said.
The 2026 SME Rise Accelerator Programme cohort includes energy project development firm In Pursuit Projects and Technology Services, software company Niche Integrated Solutions, IT company Broadsmart, and software service provider African Charm Trading.
Business Times
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