Africa’s biggest lender by assets, Standard Bank, is going cashless in its branch network in response to the decline in cash payments.
Kabelo Makeke, CEO of Standard Bank Personal and Private Banking South Africa, said cashless banking was growing and the bank had to respond to the shift.
“In many areas, cash usage has declined significantly, while demand for advisory-led, digitally-enabled banking and complex servicing is increasing. Our cashless branch strategy ensures we are investing where it matters most — in convenience, expertise and better service, in locations closer to our customer,” he said.
This is about remodelling access points. We are ensuring customers can still transact in cash where they need to, while creating branch environments that are more relevant to modern banking needs.
— Kabelo Makeke, CEO of Standard Bank Personal and Private Banking South Africa
However, even as tech-savvy customers go cashless through digital platforms including PayShap, Standard Bank said it will retain its teller-based cash services.
The bank said customers who still require teller-based cash services will be supported through nearby branches that retain these facilities, while alternative channels such as ATMs and dedicated cash centres continue to provide convenient options for deposits and withdrawals.
Makeke emphasised that the transition is about choice, not exclusion.
“This is about remodelling access points. We are ensuring customers can still transact in cash where they need to, while creating branch environments that are more relevant to modern banking needs,” Makeke said.
A year ago, Nthabiseng Mohale, manager of Interbank and Regulatory Forums at Standard Bank Corporate and Investment Banking, said going cashless was a plus for consumers, with lower costs and reduced transactional times.
“Digital transactions, unlike cash, can be processed almost instantaneously with no need for physical handling. As the system becomes more integrated and the cost of digital payments decreases, there is a clear opportunity to shift more people away from cash use and towards digital transactions,” Mohale said.
However, cash is still king as the latest data from Stats SA shows. Cash circulation has remained steady since 2009, with R171bn still in circulation in 2023.
Mohale said this data is a strong indicator that despite the push for digital payments, cash remains deeply embedded in the country’s consumer psyche.
She said digital payments in South Africa — boosted by innovations such as PayShap — have seen a notable uptick, with card payments increasing by 7% since 2023.
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