Government has a regional industrial development strategy known as the Spatial Development Initiative (SDI) programme. An SDI project is a joint venture between national and provincial governments. The first phase of the project is carried out at national level within 12 to 18 months. Project implementation is the responsibility of the province concerned and is driven primarily by an investment agency.

To encourage investors to establish or relocate industry and business to areas throughout South Africa, the country's various regions (provinces) have development bodies that offer incentives.

These incentives, which vary from area to area, include reduced interest rates, reduced rentals or negotiated rental holidays on land and buildings, reduced rates for basic facilities, railage and other transport rebates and assistance in the provision of housing.