United States has billions of dollars waiting to invest in South Africa

American investors and companies have billions of dollars worth of capital waiting to be invested in South Africa. 

This capital is not yet being invested in the country due to the government’s hostility towards American investment. 

United States Ambassador to South Africa Leo Brent Bozell III outlined the American desire to see this capital put to work in an interview with the SABC. 

Bozell has previously criticised a significant portion of the South African government, saying it does not want to see the private business community succeed. 

This can be seen in the policies implemented by the government, which are hostile towards investment and business, Bozell said. 

These policies include South Africa’s onerous Black Economic Empowerment regulations that act as a tax on capital upon arrival.

Investors who are unwilling to give up a chunk of their company to new shareholders for the privilege of operating in South Africa will not allocate capital to the country. 

Bozell has also explained the chilling effect of expropriation without compensation on investment in South Africa. 

Coupled with South Africa’s poor economic growth, this has resulted in billions of dollars in investment sitting on the sidelines. 

“We have billions, with a B, ready to go into South Africa at a time when South Africa desperately needs it,” Bozell said. 

“So, we shake our heads in disbelief that there isn’t a better partnership between our two countries given this reality.” 

Bozell said the United States is particularly interested in investing in the extraction and processing of critical minerals found in South Africa. 

This could revive the country’s floundering mining sector, provide thousands of jobs, and generate billions of dollars in export earnings. 

“We want to invest in South Africa. You have critical minerals that are of importance to us. We make no bones about that,” Bozell said. 

South Africa has failed to leverage the global need for its critical minerals into fresh investment in its mining industry. 

Double the number of American companies 

Bozell has previously outlined the United States’ ambition to double the number of American companies in South Africa. 

Doubling the current number of American companies would create another 250,000 jobs in South Africa, at a time when employment opportunities are desperately needed. 

However, this will require vastly improved relations between the two countries and changes to South African policy, Bozell said. 

The United States presented its Five Asks to the South African government 18 months ago and has received little response. These asks are below –

• Protecting rural communities from violence, referring to the globally publicised farm attacks. In 2025, the US wanted this to become a priority crime focus.
• Condemning rhetoric that incites hatred and glorifies violence, referring to the infamous “kill the boer” chant. The US wants the government to publicly condemn this.
• Ensuring appropriation policies include fair and clear compensation standards, referring to the government’s move to normalise “nil” compensation in new expropriation laws.
• Ending mandatory surrender of ownership or control of corporate decision-making as a cost of one’s own business, referring to South Africa’s strict BEE policies.
• Ending its association with Iran and enemies of the United States and becoming a non-aligned state, as it purports to be.

“My focus is clear: to advance policies that benefit the American people, to expand commercial diplomacy, to deepen fair and reciprocal trade, and to engage South Africa candidly and respectfully about areas of disagreement,” Bozell said. 

“If we can align our shared interests around growth, opportunity, and security, then both nations will prosper. That is the partnership I hope to build.” 

Bozell believes South Africa and the United States have aligned interests around economic growth and investment. 

“By working constructively with policymakers to craft solutions that expand opportunity and encourage entrepreneurship, the business community can help build an economy,” Bozell said. 

“That attracts investment, creates jobs, and delivers lasting prosperity for South Africans. If these conditions are in place, I believe South Africa can unlock an extraordinary level of economic dynamism.” 

This ties closely to Bozell’s aim to increase investment from American companies in South Africa.

“We are proud of the 500 US companies that are here. But why not 1,000? We are pleased that we have created jobs for 250,000 South Africans, but we are not done. Why not double that? That is how Americans think. Nothing is beyond the pale for us,” Bozell said. 

“We want partners who also dream great dreams, and that is South Africa’s signature. Let us all do our part to make our relationship prosper and thrive.”