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South Africa’s Business Services Sector Set for Growth as Atain Expands Cape Town Operations.

South Africa’s Business Services Sector Set for Growth as Atain Expands Cape Town Operations.

South Africa’s global business services (GBS) sector offers significant potential for economic growth, job creation and youth skills development, Deputy Trade Minister John Steenhuisen said on Friday at the opening of a new customer services centre in Cape Town.

Steenhuisen was speaking at the launch of the expanded facility operated by Atain, a global customer experience and business process management company that specialises in artificial intelligence-driven services and digital technology platforms.

The company has grown from a 50-person operation in 2022 to a workforce of about 1,500 people in Cape Town, Steenhuisen said. That headcount is expected to rise to 2,100, backed by an investment of 70 million rand ($3.9 million), he added.

“Their vision for employment, skills development, and the advancement of young people into the digital economy is outstanding,” Steenhuisen told guests at the event, according to a statement from South Africa’s communications department.

The global business services sector, which includes customer support, back-office processing and other outsourced corporate functions, has become a focus for South African policymakers seeking to diversify the economy and reduce unemployment, which stood above 30% in the first half of 2026, according to government data.

Steenhuisen said Atain’s investment reflected growing investor confidence in South Africa as a destination for outsourced service operations. “We welcome the investment and commit to unlocking further growth in the GBS sector,” he said.

Cape Town has emerged as the country’s leading centre for business process outsourcing, drawing companies seeking English-speaking staff, favourable time-zone alignment with Europe and the United States, and comparatively lower labour costs.

Steenhuisen said the city remained “the heart of the GBS sector” but pointed to room for expansion elsewhere in South Africa.

“There are huge opportunities for greater expansion across the rest of the country, particularly into provinces where there are deep pools of untapped talent that can be leveraged to grow businesses within the sector,” he said.

The deputy minister credited the South African High Commission in India and InvestSA, the investment promotion arm of the Department of Trade, Industry and Competition, with helping to secure the Atain investment through business case development and other outreach efforts.

Steenhuisen said Atain’s investment underscored the importance of workforce welfare in driving productivity. The company provides staff with incentive schemes, medical cover, funeral benefits and door-to-door transport, he said.

Atain also runs a training programme called the Atain Academy, which recruits young people from disadvantaged and high-risk communities, according to the statement. More than 350 learners have completed training through the programme, which the company says is intended to build a pipeline of skilled workers for the sector.

Atain’s Chief Human Resources Officer, Amir Bharwani, said Cape Town had become central to the company’s global operations.

“South Africa is a strategic hub for Atain and an important part of our global growth story,” Bharwani said. “We have built a strong presence in Cape Town on the strength of exceptional local talent, and we are committed to scaling our investment further.”

Steenhuisen said Atain’s model, which combines artificial intelligence tools with human staff, illustrated how South African firms could compete for international outsourcing contracts as AI reshapes the sector globally.

“As the global economy undergoes rapid technological transformation, Atain’s business model… demonstrates how South African companies can position themselves to deliver globally competitive services,” he said.

He said the government intended to work across departments to remove obstacles facing investors in the sector.

“We are here to listen and to use our position within government to co-ordinate other relevant departments, to understand the obstacles and barriers, and to work together to move them out of the way,” Steenhuisen said.

Steenhuisen said InvestSA was ready to support further expansion by Atain and other companies in the GBS sector.

“Atain is building more than a business centre,” he said. “You are building futures… and, most importantly, building opportunities for South Africans, particularly our youth.”

South Africa’s business process outsourcing sector has been promoted by successive governments as a route to formal-sector job creation, particularly for young people, in an economy where youth unemployment remains among the highest in the world.

The Cape Town facility’s opening was attended by Atain’s Senior Vice President for South Africa, Shavone Dajee, along with Bharwani and Steenhuisen, who took part in a ribbon-cutting ceremony to mark the launch.

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