Globally, banks are redefining strategies to become customer owners. They are building a diverse partner ecosystem, providing personalized experiences by dynamically segmenting customers, and focusing on ESG. Banks in South Africa are no different and are looking for ways to increase their customer base and provide an enhanced banking experience. Their future and growth trajectory are similar as they look to redefine strategies to achieve customer centricity and profitability.

Interestingly, the banking industry in South Africa is highly concentrated, with 83% of the industry’s deposits being held by the four largest banks in the region. However, the landscape is changing for banks as they face increasing competition from newly established banks, digital-first neobanks, technology-enabled start-ups, and a growing number of retailers offering financial services including credit products. This is forcing incumbent banks to place increasing emphasis on growing customer numbers by offering more innovative products to attract lower-income earners, as well. Many are also exploring opportunities for collaboration with new tech offerings.

‘The Future of Banking in South Africa’ was organized by SunTec as an executive roundtable that brought together the collective wisdom of eminent banking professionals from South Africa and SunTec experts. This thought-provoking dialog was insightful and perceptive of the way forward. At this juncture, the banking industry is at an interesting point of transformation in Africa. The sessions focused on the opportunities and challenges involved in implementing solutions around Banking-as-a-Service (BaaS), Environment, Society & Governance (ESG), and Dynamic Segmentation.