JOHANNESBURG - With the global economic volatility, South Africa is exploring how the Indian small, medium and micro enterprises (SMME) contribute to their national economy, a government official said on Sunday.

The remark was made by the South Africa's Deputy Minister of Trade and Industry Elizabeth Thabethe before starting her visit to India, who said South Africa and India are both developing countries, confronted by similar economic development challenges.

"However, the latest developments have indicated that India has progressed impressively in the area of informal business development," said the deputy minister.

The official will be in India from Aug 19 to 31, scheduled to visit four cities including Kerala, Chennai, Mumbai and New Delhi.

She will study progress made by India in informal business development as well as the connection between the rural economies and the mainstream economy of the country.

"Institutions that we will be engaging with will present simple solutions for South Africa's SMMEs, especially key challenges facing small business development in the country, including the provision of business development support, access to finance, technology and market development," said Thabethe.

"The aim for her to visit to India is to create market penetration for South African value-added products and services in India and to promote South Africa as a trade and investment destination," said the spokesperson of the Department of Trade and Industry Sidwell Medupe.