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OVERVIEW

Banking and financial services A local agency aims to become a bank.

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outh Africa’s banking and financial services sector is experiencing a surge of innovation with several new banking licences expected to be granted before the end of 2018. One of these is based in KwaZulu-Natal. Tyme, which stands for Take Your Money Everywhere, was granted a licence in 2017. The name refers to the bank’s digital origins and its plans for the future which do not involve a branch network. Commonweath Bank of Australia bought a controlling share of Tyme when it was a loans company and African Rainbow Capital is the venture’s BEE partner. The banking licence is the first to be issued since Capitec was granted a licence by the South African Reserve Bank in 1999. Capitec has since gone on to become a major player on the South African retail banking scene. It now merits inclusion in a new “Big Five”, with Standard Bank, Absa, FNB and Nedbank. Merchant banking and investment banking are the most competitive sectors with companies such as BoE Private Clients, Rand Merchant Bank and Investec prominent. The other prospective new entities are state-related enterprises: Ithala, Postbank and a Human Settlements Development Bank. The Ithala Development Finance Corporation has functioned for many years in the province as the provider of funds for small enterprises, KWAZULU-NATAL BUSINESS 2018/19

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SECTOR INSIGHT • New banking licences are being approved. • Standard Bank is financing renewable energy projects. especially in areas where infrastructure is poor and access to traditional banking services is not good. The provincial government, which runs Ithala, wants to launch it as a bank as soon as possible. In 2016 Postbank (part of the South African Post Office, SAPO) received a first-level licence. Once a board of directors has been appointed and a company formed, the Reserve Bank is likely to grant the full licence. The current

KwaZulu-Natal Business 2018/19  

The 2018/19 edition of KwaZulu-Natal Business is the 10th issue of this highly successful publication that, since its launch in 2008, has es...

KwaZulu-Natal Business 2018/19  

The 2018/19 edition of KwaZulu-Natal Business is the 10th issue of this highly successful publication that, since its launch in 2008, has es...

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