Nearly three quarters of South African SMEs say improved electricity reliability boosted their operations, while festive season trading delivered little financial relief.
Improved electricity reliability has emerged as one of the biggest drivers of small business recovery in South Africa, with nearly three quarters of SMEs reporting better business performance as a result of reduced load shedding, according to the latest SME Confidence Index released by Business Partners Limited.
The findings come despite a relatively muted festive trading season, which failed to deliver the expected financial boost for many small and medium enterprises.
According to the fourth quarter 2025 survey, 46.5% of SMEs said seasonal trading periods such as Black Friday and the festive season had no significant impact on their business performance, while a further 8.1% reported a negative effect.
This is despite Statistics South Africa reporting retail sales of R117.9 billion in November 2025, representing a 3.6% increase compared with the previous year.
