Banking Industry in South Africa Market Report 2022 - Demand for Credit is Rising and Increasing Risk of Bad Debt

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Nov 15, 2022, 10:45 ET

DUBLIN, Nov. 15, 2022 /PRNewswire/ -- The "Banking Industry in South Africa 2022" report has been added to ResearchAndMarkets.com's offering.

South Africa's banking sector is well capitalised and its capital adequacy and liquidity ratios have remained well above minimum statutory requirements. Total banking sector assets increased in the year to end-March 2022, with increases reported in gross loans and advances, investment and trading securities and short-term negotiable securities.

Profitability improved significantly. However, the operating environment remains highly volatile and the banking sector is facing elevated domestic and global risks, including the possibility of being placed on an international grey list over South Africa's failure to implement adequate measures to prevent illicit money flows.

Trends

Mobile and digital banking are key drivers of financial inclusion in South Africa. Despite the uptake of digital banking, cash transactions are prevalent, and banking activity continues to be dominated by cash withdrawals, which are often made at supermarket till points. Many banks are consolidating and closing underserved branches and ATMs. Demand for credit is rising, and rising inflation and interest rates are placing consumers under growing pressure and increasing the risk of bad debt. Cybercrime poses a growing threat to banking service providers and their customers, and money-laundering is on the increase.

Financial Inclusion

South Africa's formally financially included is high at over 90% and various banks offer products for low-income earners. Co-operative financial institutions and microfinance institutions play a fundamental role in financial inclusion. Stakeholders say that migration to formal savings platforms has accelerated since 2020.

Report Coverage

This report covers the banking industry in South Africa including the major commercial banks, development banks, central bank, digital banks, microfinancing and stokvels. It includes comprehensive information on the size and state of the sector, industry statistics and performance indicators, rankings, corporate actions and other developments.

There are profiles of 81 companies including the major banks such as FirstRand (FNB), ABSA, Standard, Nedbank, Capitec and Investec, development banks such as the Land Bank and relatively new players such as TymeBank and Bank Zero.

Key Topics Covered:

1. INTRODUCTION

2. DESCRIPTION OF THE INDUSTRY
2.1. Industry Value Chain
2.2. Geographic Position
2.3. Size of the Industry
2.4. Key Success Factors and Pain Points

3. LOCAL
3.1. State of the Industry
3.2. Key Trends
3.3. Notable Players
3.4. Corporate Actions
3.5. Regulations
3.6. Enterprise Development and Social Economic Development

4. AFRICA

5. INTERNATIONAL

6. INFLUENCING FACTORS
6.1. The War in Ukraine
6.2. Economic Environment
6.3. COVID-19
6.4. Financial Inclusion
6.5. Technology, Research & Development (R&D) and Innovation
6.6. Government Support
6.7. Labour
6.8. Cryptocurrency
6.9. Crime
6.10. Environmental Issues

7. COMPETITIVE ENVIRONMENT
7.1. Competition
7.2. Ownership Structure of the Industry
7.3. Barriers to Entry

8. SWOT ANALYSIS

9. OUTLOOK

10. INDUSTRY ASSOCIATIONS

Select Companies Mentioned:

Absa Bank Ltd
Access Bank South Africa Ltd
African Bank Ltd
African Dawn Capital Ltd
Afriticket System (Pty) Ltd
Agribel Capital (Pty) Ltd
AgricReview (Pty) Ltd
AgriRewards (Pty) Ltd
Albaraka Bank Ltd
Alicerose Nominee (Pty) Ltd
All In One Vermietung GmbH
API Capital (Pty) Ltd
Axis Security Services Ltd
BA Excepted Group Life Scheme Ltd
BA Holdco Ltd
BANCO Bocom BBM SA
Bank of China Ltd
Bank of Taiwan Co. Ltd
Bank Zero Mutual Bank
Barko Financial Services (Pty) Ltd
Baroda Pioneer Asset Management Co Ltd
Batho Bonke Absa HDSA Employee Trust
Bemax International (Pty) Ltd
Bidvest Asset Management (Pty) Ltd
Blue Holdings (Pty) Ltd
BNP Fortis Factor NV
BNP Paribas Commercial Finance Ltd
BOC International (China) Ltd
BoCom International Holdings Company Ltd
BOCOM Wealth Management Co Ltd
Buyers Trust Investment Solutions (Pty) Ltd
C T International Financiers (Pty) Ltd
Capital Harvest (Pty) Ltd
Capitec Bank Ltd
Cavalry Holdings Ltd
CCB Financial Asset Investment Corporation Ltd
CH Risk and Securities (Pty) Ltd
China Construction Bank Corporation
Citibank N.A.
CNH Industrial Capital Europe SAS
Co-Operative Switch (Pty) Ltd (The)
Deutsche Bank AG
Development Bank of Southern Africa
Diners Club (S A) (Pty) Ltd
Direct365Online Ltd
Discovery Ltd
East Africa Investment (Mauritius) Ltd
FHP Managers (Pty) Ltd
Finamics Accounting Services (Pty) Ltd
Finbond Group Ltd
FinGlobal Finance (Pty) Ltd
FireID Payments (Pty) Ltd
First Garment Rental (Pty) Ltd
FirstRand Bank Ltd
GBS Mutual Bank
Geniob Trading (Pty) Ltd
Gloster Farm (Pty) Ltd
Golden Fountain Finance Ltd
Grindrod Bank Ltd
Habib Overseas Bank Ltd
HBZ Bank Ltd
HKFT Properties (Pty) Ltd
HSBC Bank PLC
ICICI Bank Ltd
Imfundo Finance (RF) (Pty) Ltd
Industrial Development Corporation of South Africa Ltd
Investec Bank Ltd
Ithala Development Finance Corporation Ltd
JCB Finance Holdings Ltd
JPMorgan Chase Bank N.A.
Lewis Group Ltd
Mortgage Max (Pty) Ltd
MTN Group Ltd
NBC Holdings (Pty) Ltd
Nedbank Ltd
NQ Plus Networks (Pty) Ltd
Old Mutual Finance (RF) (Pty) Ltd
Oltio Holdings (Pty) Ltd
Ooba (Pty) Ltd

For more information about this report visit https://www.researchandmarkets.com/r/igl131

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