By Tumelo Khotha
Small businesses across Tshwane are operating under severe economic pressure, but many continue to create jobs, provide essential goods and services, and keep money circulating within local communities.
Their contribution comes as South Africa continues to face high unemployment and pressure on the labour market. According to Statistics South Africa’s Quarterly Labour Force Survey, the country’s official unemployment rate rose to 32.7% in the first quarter of 2026, with about 8.1 million people unemployed. Employment also fell by 345,000 during the quarter, to 16.8 million.
The informal economy also remains an important source of livelihoods. Stats SA reported that informal-sector workers accounted for 21.4% of total employment in the fourth quarter of 2025, while informal employment accounted for about one-third of all employed people.
Against this backdrop, the Tshwane Economic Development Agency (TEDA) has recognised the role that small businesses play in supporting economic activity and creating opportunities within the city.
TEDA communications specialist Kholiswa Moncho said the agency recognises the contribution of small businesses, although it is not mandated specifically as an SMME development agency.
“While TEDA is not mandated as an SMME development agency, it recognises the important role that small businesses play in driving economic growth,” Moncho said.
She said TEDA provides strategic platforms that connect entrepreneurs with markets, investors and government opportunities.
Among the initiatives are the Tshwane Women in Business Awards (TWIBA), Tshwane SMME Symposium and Tshwane Business Connect programme.
“These initiatives are designed to provide exposure, facilitate networking, create business linkages and improve market access for Tshwane-based enterprises, while complementing TEDA’s broader investment and export promotion mandate,” Moncho said.
Moncho added that TEDA promotes Tshwane as an investment destination by facilitating local and foreign direct investment, assisting investors in navigating government processes, and supporting local businesses through its export-promotion programme.
According to Moncho, the agency also organises trade missions and exhibitions and provides market-intelligence opportunities aimed at improving the global competitiveness of local enterprises.
The importance of creating and protecting jobs has become increasingly significant as employment remains under pressure nationally. Stats SA’s Quarterly Employment Statistics report showed that employment in the formal non-agricultural sector fell by 80,000 jobs between December 2025 and March 2026. The trade sector alone recorded a decline of 40,000 jobs during the period.
TEDA’s mandate includes attracting investment, promoting trade and exports, providing investment aftercare, and packaging strategic projects for the City of Tshwane.
Local entrepreneurs said small businesses can also provide an important source of employment and opportunity.
Arlington Buys, a Tshwane small-business owner, said small enterprises employ a significant number of people in local communities and provide opportunities for residents who may struggle to find work in the formal economy.
Buys said the challenges facing businesses should not discourage entrepreneurs from pursuing growth.
Despite the difficult economic environment, he remains optimistic about the future and believes collaboration between businesses and government is necessary to create more opportunities. He urged fellow business owners to work with government and other stakeholders to address the country’s high unemployment rate and strengthen local economic activity.
