The Brussels Effect in South African Public Policy: An Imperialism of Expedience?

The “Brussels effect” describes the European Union’s ability to influence global regulatory standards due to its significant market size and political influence. This report, jointly prepared by the South African Free Market Foundation and the European Policy Information Center, examines how this phenomenon influences South African public policy, particularly in the areas of digital technology and artificial intelligence, and questions its suitability for the country’s economic context.

The report recommends strategic adaptation over passive compliance, urging South Africa to prioritise flexibility, innovation, and liberalisation. Specific proposals include exempting research from strict data consent rules, resisting censorship-adjacent policies, and adopting a light-touch approach to AI regulation to foster a competitive digital economy. South Africa should draw inspiration from innovation-driven economies, such as Singapore or the United States, and tailor regulations to its developmental needs. By resisting the allure of EU regulatory models and embracing a deregulated, market-driven approach, South Africa can leverage technology to address its existential crises and build a resilient digital economy that empowers local stakeholders while remaining globally connected.