Why South Africa is the Perfect Choice for Nearshore Software Developers and Cloud Engineers

4 September 2023

Author: Andrew Jones


With more and more companies moving towards digitalisation and cloud-based solutions, the demand for skilled software developers and cloud engineers has increased drastically. However, many companies struggle to balance their need for top talent with their budgetary constraints. This is where the concept of nearshoring comes in. Nearshoring refers to outsourcing software development and other IT-related services to nearby countries, which can offer a more cost-effective solution. In this blog post, we will explore why South Africa is an excellent destination for nearshoring developers and cloud engineers, based on Gartner’s top five things concerning CIOs in the UK and Europe.

Permanently reduce the cost of doing business

One of the top priorities for CIOs is to reduce business costs while maintaining high-quality standards. South Africa offers this exact benefit, as it has a competitive and affordable cost structure compared to other destinations. According to a report published by the UK Department for International Trade, South Africa’s operational costs were 20 to 40% lower than the UK, the USA, or the Asia-Pacific region. This cost-effectiveness is partly due to South Africa’s lower labour costs and the favourable exchange rate against the dollar and euro.

Furthermore, South Africa has a pool of young, talented, and competitive software developers and cloud engineers who can deliver solutions that meet international standards. This offers a perfect opportunity for companies to reduce their operational costs while still maintaining high performance.

Improve customer and employee experience!

The customer and employee experience are essential ingredients for any business’s success. The focus on these two factors has become even more critical in the current pandemic situation, with remote working expected to continue. South Africa offers a true cultural fit, with English as a first language and many of their institutions based on UK institutions.  Most importantly you will find that they share a wonderful sense of humour as we do in the UK.

With similar working hours if not exactly the same, this and the close cultural fit makes for a great customer and employee experience.

Exploit disruptive innovations!

The digital revolution has introduced disruptive innovations, which are rapidly changing the way businesses operate. Companies that want to remain competitive and relevant need to keep up with these changes. South Africa has a robust ecosystem that fosters innovation, digitalisation, and entrepreneurship. The country has several universities and research centres that produce graduates with cutting-edge skills in AI, Machine Learning and Blockchain software development and other IT-related disciplines. This talent pool has developed a reputation for thinking outside the box and can provide disruptive, creative solutions to businesses.

Outperform competitors during a downturn

Economic volatility is a challenge faced by businesses worldwide. The current global pandemic has created unprecedented disruption and uncertainty. South Africa’s ability to offer cost-effective, high-performance solutions can help companies outperform their competitors during a downturn. By leveraging South Africa’s nearshoring destinations, businesses can establish an agile, flexible, and responsive business model that mitigates the risks of an unstable economic environment. In this way, businesses can leverage the talented workforce available in South Africa to keep pace with the ever-changing digital marketplace.


In conclusion, South Africa is an excellent destination for nearshoring software developers and cloud engineers. Based on Gartner’s top five things concerning CIOs in the UK and Europe, South Africa offers cost-effectiveness, high-quality solutions, innovation, and resilience. The country boasts a young, talented, and competitive workforce that can deliver solutions that meet international standards. Companies that want to maintain a competitive edge in today’s fast-paced digital world can leverage the abundant talent available in South Africa to achieve their business goals.

SASDH can provide top-quality software developers and cloud engineers and if so desired,  world-class hybrid working offices, with great workstations and conference call streaming and meeting facilities. Each of our clients’ contractor teams is looked after by a local ambassador.