The country ranked ahead of Nigeria as a potential investment destination, coming in at 14th on the index while Nigeria ranked 17th.
South Africa has been ranked as the leading emerging economy in Africa and the only country on the continent to be ranked in the top 15 worldwide, according to the Emerging Markets Opportunity Index conducted by international advisory firm Grant Thornton.
"Although recent events in the mining sector have hurt our country's reputation as a destination of choice for foreign direct investment, there are significant benefits that continue to attract investors," Grant Thornton South Africa's national chairperson, Deepak Nagar, said in a statement.
The index analyses a variety of indicators from Grant Thornton's International Business Report, the International Monetary Fund and the United Nations Human Development Report. Indicators include economic size, population, growth prospects and levels of development to rate the countries' potential to attract business investment.