South Africa’s economic growth outlook weakens amid global uncertainty
The article explains recent changes to South Africa’s merger control rules and why they matter for the broader economy and consumers.From 1 May 2026, the Competition Commission of South Africa updated its merger notification thresholds, increasing the financial limits that determine which business deals must be formally reported.The lower threshold has risen from R600 million to R1 billion, while the target firm threshold increased from R100 million to R200 million.The higher threshold has also been adjusted from R6.6 billion to R9.5 billion, with its corresponding target firm threshold moving from R190 million to R280 million.
These changes mean that smaller or routine mergers will no longer require full regulatory notification, reducing administrative pressure on the Commission.The author argues that this shift is intended to make competition regulation more efficient and focused.
By reducing the number of low-risk transactions that require review, the Commission can dedicate more time and resources to complex or potentially harmful mergers that could impact competition, employment, and small business participation in the economy.An analogy is used comparing the system to a busy clinic, where too much time spent on minor cases delays urgent care for serious patients.
Importantly, the article highlights that competition law in South Africa is not only about prices for consumers, but also about broader social and economic goals such as job creation, transformation, and ensuring fair participation for small and black-owned businesses.While some smaller deals may now proceed more quickly, large or potentially anti-competitive mergers will still be closely scrutinised.
Overall, the piece frames the reform as a balancing act: reducing unnecessary regulatory burden while maintaining strong oversight over deals that could affect market concentration, employment, and economic inclusion.