Cape Town is set to become a development hub for what is being positioned as the world’s first agentic credit-broking protocols for artificial intelligence (AI) chatbots — systems designed to allow these platforms to participate in the regulated, compliant sale of financial products.
Justin Basini, CEO of UK-based fintech company ClearScore, said the firm is opening its South African office this week, where it will develop technology aimed at converting the estimated 2-billion daily interactions that users have with AI chatbots into potential financial transactions, giving users access to credit and other products.
“We’ve announced the world’s first agentic credit-broking protocols — ACBP," he said.
“When users engage with their financial lives through chatbots, they’re asking questions such as: ‘Should I take a loan?’ or ‘How do I finance my next car?’ These are regulated sales globally. There are rules and laws to ensure users can get the right recommendations ... avoid unsuitable products and give lenders confidence that [agreements are enforceable].”
Basini set up ClearScore in 2015 to help users better understand borrowing and credit. The company gained millions of users within its first 18 months, with South Africa becoming its first international market in 2017.
He said the protocols, published this week, are intended to help banks, credit brokers, AI providers, and regulators ensure that regulated sales happen seamlessly around the world.
ClearScore operates in the UK, Australia, New Zealand and Canada, with more than 26-million users, more than 200 financial institution partners and about 620 employees globally
“What our protocols do is create the rules that an agent such as ChatGPT or Claude can interact with other agents — for example, ClearScore — to answer user questions … in a compliant way," he said. “Which means they’re getting the right recommendations, and the lender understands the interaction is compliant with the law.”
The system was built on what the company calls a universal API programme, which forms the infrastructure underlying the protocols. “We’re going to be building a lot of that universal API infrastructure in South Africa,” Basini said.
ClearScore operates in the UK, Australia, New Zealand and Canada, with more than 26-million users, more than 200 financial institution partners and about 620 employees globally.
Basini said South Africa was an attractive market due to its strong regulatory framework, sophisticated financial sector, established credit bureau system, and a young, tech-savvy population with strong cellphone penetration.
“We’ve had a fantastic run in South Africa. We now serve one in eight South Africans — more than 6.5-million consumers. We have a team of about 24 people locally, and we’re looking to accelerate that as a strategic capability hub.”
Once users verify their identity, they can access a range of financial information via the ClearScore app or website, including their credit score.
Basini said users typically improve their credit score by between 80 and 100 points by using the platform, and as a result will pay less interest and have a broader choice in the market should they choose to take on credit. “We think that it’s important that people have wide access to the market when they choose to borrow.
“We don’t put pressure on people to borrow because that’s completely up to them. But access to well-priced, regulated credit is an important part of a good economy.”
Research from bodies such as the Independent Communications Authority of South Africa shows that online interactions with AI chatbots — locally and globally — are growing faster than earlier digital waves, including apps and streaming services.
Venture capital fuels innovation and allows ideas to become businesses that create jobs and economic value. Cape Town and the Western Cape show what is possible when entrepreneurial energy, skilled talent and targeted investment come together
— Wrenelle Stander, Wesgro CEO
Dimitri Martinis, a principal consultant, recently told members of the communications & digital technologies portfolio committee in parliament that the growth of various online digital platforms was accelerating exponentially.
“It took Netflix three and a half years to reach 1-million subscribers; Airbnb took two and a half months; Facebook took 10 months; Spotify took five months; the iPhone took 74 days; and Instagram took 25 days. ChatGPT reached 1-million users in just five days, and today it and other AI systems have 2-billion visits a day,” HE said.
Wesgro CEO Wrenelle Stander said Cape Town and the Western Cape are already showing potential as a tech hub, with concentrated talent and a growing number of early-stage ventures.
“For South Africa to secure a meaningful role in this future, increasing venture capital at key stages must be a strategic priority,” she said.
“Strengthening venture capital goes beyond funding individual ventures — it shapes the ecosystem, determines the scale and quality of opportunities, and drives sustained economic growth and global competitiveness.”
Despite strong talent and ideas, many promising ventures in the Western Cape still struggle to secure the funding needed to grow and compete globally, she said.
“Venture capital fuels innovation and allows ideas to become businesses that create jobs and economic value. Cape Town and the Western Cape show what is possible when entrepreneurial energy, skilled talent and targeted investment come together.
The region already attracts a significant share of South Africa’s venture capital flows, hosts established startup hubs, and benefits from a growing community of experienced investors. Local firms such as Knife Capital, Savant and 4Di have developed respected investment vehicles capable of competing internationally.
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