Regulation as a Barrier to Entry: The Competition Commission’s Review of Regulatory Impediments to Competition and SME Participation

In this article for the African Antitrust blog, authors Jannes van der Merwe & Astra Christodoulou discuss the South African Competition Commission’s newly launched review of regulations that may hinder competition, particularly for small and medium-sized enterprises (SMEs). Announced on 22 April 2026, the initiative reflects a broader government push to reduce red tape, improve the ease of doing business, and support more inclusive economic growth following priorities outlined in President Cyril Ramaphosa’s 2026 State of the Nation Address.

The authors explain that the review marks a significant shift in the Commission’s approach, moving beyond traditional enforcement against anti-competitive conduct toward examining the structural and regulatory barriers that shape market participation. Backed by powers under the Competition Act and strengthened by the 2018 Competition Amendment Act, the Commission has increasingly focused on addressing economic concentration, promoting SME participation, and expanding opportunities for historically disadvantaged persons.

The review identifies six major categories of regulatory barriers, including burdensome licensing systems, monopoly-entrenching rules, excessive compliance requirements, and restrictions on price or non-price competition. The Commission also highlights the role of poor administrative implementation, such as delays and inconsistent interpretations, as a major obstacle for smaller firms trying to enter or expand within regulated markets…

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