Immediate Release
11 May 2026
Free SA welcomes the withdrawal of the Small Enterprise Ombud Service Bill by Minister of Small Business Development, Stella Tembisa Ndabeni-Abrahams, after widespread criticism that the proposed legislation would have imposed unnecessary red tape and regulatory burdens on South Africa’s entrepreneurs.
At a time when South Africa faces one of the highest unemployment rates in the world, the country cannot afford more bureaucratic obstacles that make it harder for small businesses to survive, grow, and employ people. Free SA has consistently opposed policies that expand government control over the economy while suffocating the private sector with compliance costs and administrative complexity.
Small and medium enterprises remain the backbone of economic growth and job creation. Instead of burdening entrepreneurs with additional regulations, government should focus on removing barriers to entry, cutting excessive red tape, simplifying compliance requirements, and creating an environment where businesses can flourish.
Commenting on the withdrawal of the Bill, Gideon Joubert of Free SA stated:
“South Africa does not need more paperwork, more licences, more compliance officers, or more government interference. We need economic freedom, policy certainty, and an environment where entrepreneurs can focus on creating jobs instead of navigating endless bureaucracy. The withdrawal of this Bill is a victory for common sense and for every South African trying to build a business under extremely difficult conditions.”
Free SA warned throughout the public debate that the Bill risked discouraging entrepreneurship and investment at precisely the moment South Africa needs aggressive economic growth to tackle unemployment, poverty, and stagnation.
The organisation said government must now shift its focus away from expanding regulation and towards enabling private sector-led growth.
South Africa’s unemployment crisis will not be solved through new state structures, additional compliance obligations, or increased administrative oversight. Sustainable economic growth requires a government that trusts citizens, enables enterprise, and removes obstacles standing in the way of innovation and job creation.
“Every hour an entrepreneur spends filling out forms or complying with unnecessary regulations is an hour not spent growing a business or employing someone,” Joubert added. “Government must understand that small businesses are not the enemy of progress, they are the engine of progress.”
Free SA will continue advocating for policies that protect economic freedom, reduce state overreach, and empower South Africans to create prosperity through enterprise and innovation.
ENDS
Media enquiries:
Anneke Burns
Free SA Publicist
071 423 0079
media@freesa.org.za
About FREE SA:
At the Foundation for Rights of Expression and Equality (Free SA) we are committed to empowering South Africans to have their voices heard. In a true democracy, every opinion counts, and we ensure your voice resonates where it matters most: in Parliament, in public policy, and in the laws that shape our country. From advocating for democracy and equality to holding the government to account, we stand with you to demand transparent, responsive, and fair governance that serves its people.
To learn more, visit: Free SA