The end of AGOA marks a turning point for the country’s trade relations with the United States.
As the African Growth and Opportunity Act (AGOA) expired on 30 September 2025, South Africa is seeking new international trade opportunities, which TymeBank believes the G20 meetings can provide.
The end of AGOA marks a turning point for the country’s trade relations with the United States.
“This signals a new phase in South Africa’s international trade dynamics, with the pragmatic course of action for US-focused exporters now clearly being to expand export opportunities elsewhere in the world,” said Miguel da Silva, Group Executive: Business Banking at TymeBank.
ALSO READ: Agoa is over, time to find new markets, BLSA says
G20 agreements
He said the agreements that were signed on the sidelines of the G20’s Agricultural Working Group in late September show how these new opportunities might materialise.
“South Africa secured two new memoranda of intent with Brazil and Japan, which outline a path to expanded trade, knowledge exchange and new technology,” said Da Silva
“Minister of Agriculture John Steenhuisen called the agreements a ‘testament to our shared vision for a food-secure future’, and an opportunity to ‘position South African agricultural products more competitively’.”
SMEs must take advantage of G20 meetings
He said ministers, heads of state and trade delegations will be alert for opportunities in a global trade landscape that has been disrupted by the US’s trade policies.
“South African SMEs are likewise urged to take advantage of these opportunities, and to prioritise a proactive approach to market diversification.”
Grey listing exit
Da Silva highlighted that SA has substantially completed all 22 action items in its Financial Action Task Force (FATF) Action Plan, positioning the country for delisting at the FATF Plenary meeting on 24 October.
The completion includes sustained increases in money laundering investigations, prosecutions, enhanced supervision of financial institutions, and comprehensive counter-terrorism financing frameworks.
“The South African Reserve Bank has warned of significant repercussions for the financial sector if exit delays continue, noting that domestic financial institutions’ access to the global financial system could become increasingly restricted,” he said.
“For small and medium enterprises (SMEs), successful delisting promises immediate operational benefits. Enhanced due diligence requirements, which currently cause payment delays and increase compliance costs, will be eliminated, while correspondent banking relationships are expected to return to normal.”
ALSO READ: Repo rate unchanged as economists expected
SA is high-risk
He said the European Securities and Markets Authority currently classifies South Africa as high-risk until 28 March 2026, with the United Kingdom following suit since December 2023.
Multiple European and Asian banks have imposed transaction caps and additional documentation requirements that particularly burden smaller exporters. “These restrictions should lift following the successful FATF delisting,” added da Silva.
“National Treasury emphasised the strategic importance, stating: Improvements to South Africa’s AML/CFT regime are particularly important given the legacy of state capture. Improvements in these domains are critical not just for getting off the grey list, but for strengthening the fight against crime and corruption.”
ALSO READ: Malatsi calls for ethical use of AI as SA leads G20 task force
Consumer Price Index data
Da Silva said the Consumer Price Index (CPI), set to be released by Statistics South Africa on 22 October will provide data for SME quarterly business reviews, pricing strategies, and financing decisions.
“With the repo rate currently at 7.0% in a cutting cycle and inflation favourable at 3.3%, the data will guide SME expansion and investment timing,” he added.
“CPI data will provide crucial inflation guidance ahead of the November Sarb Monetary Policy Committee (MPC) decision. Manufacturing PMI declined to 49.5 in August from 50.8 in July, reflecting continued sector pressures that may support further monetary accommodation.”
“This month marks an inflection point for export-oriented South African SMEs, as external trade disruption accelerates domestic reform momentum and alternative partnership development.
“While AGOA’s expiration and US tariffs create immediate pressures on 30 000 jobs, the convergence of FATF delisting prospects, BRICS investment commitments, and G20 agricultural partnerships suggests strategic opportunities for businesses prepared to pivot toward emerging market integration.”
NOW READ: G20 discussions may not lead to anything concrete, expert says
