South Africa recorded foreign direct investment (FDI) inflows of ZAR 49.8 billion in Q2 2026, the highest level since Q2 2023 and more than double the ZAR 20.3 billion registered in Q1, according to central bank data. The surge was driven primarily by debt funding provided to an unnamed domestic telecommunications company by its non-resident parent. In contrast, portfolio investments showed a net outflow of ZAR 9 billion, reversing the ZAR 9 billion inflow of the previous quarter, as foreign investors offloaded ZAR 34.2 billion in domestic equities, partly offset by ZAR 25.1 billion in net purchases of local bonds.