The Government of Brazil and the Republic of South Africa are deepening bilateral cooperation to strengthen micro, small, and medium-sized enterprises (MSMEs), with a focus on innovation, financing, and integration into global value chains.

The initiative was reinforced during the First Foreign Ministerial Meeting on MSMEs held under South Africa’s G20 Presidency, as reported by the
official website of Brazil’s Ministry of Entrepreneurship, Microenterprise, and Small Business.

Tadeu Alencar, Executive Secretary of Brazil’s Ministry of Entrepreneurship, Microenterprise, and Small Business, led the Brazilian delegation during the official mission. In a bilateral meeting with South African Minister of Small Business Development Stella Ndabeni-Abrahams, the two sides discussed expanding strategic partnerships to enhance inclusive economic growth through entrepreneurship.

A draft Memorandum of Understanding (MoU) was presented, outlining technical cooperation in public policies supporting MSMEs. Key areas include digitalisation, internationalisation, market access, and support for green economy initiatives, women-led businesses, and local crafts. The agreement is expected to be finalised by November 2025, during the G20 Summit in South Africa.

“This was a highly productive meeting, continuing the dialogue that began last year in São Paulo. We have defined a roadmap for cooperation that will deepen Brazil–South Africa relations and enhance the role of micro and small enterprises in international trade and inclusive development,” said Tadeu Alencar, Executive Secretary of Brazil’s Ministry of Entrepreneurship, Microenterprise, and Small Business.

According to the source, MSMEs play a vital role in both economies. In Brazil, they account for approximately 30 per cent of GDP and 65 per cent of formal employment. In South Africa, small businesses contribute around 40 per cent of GDP and generate between 60 and 70 per cent of private sector jobs. The proposed cooperation aims to further empower these sectors as engines of sustainable development across both nations.

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