Standard Bank Group Ltd announced on Monday January 24 that 99% of its transaction volumes in South Africa are now cashless. A trend that helps the largest in Africa in terms of assets to reduce costs.
“What we have seen is incredible change. It shows that customers are more than committed to going digital,” commented Sim Tshabalala, Managing Director of the Johannesburg-based bank.
The pandemic and subsequent lockdown across the continent prompted Standard Bank customers to switch to digital banking. Outside the most industrialized country in Africa, digital transactions represent 95% of the volume of the bank which has also reduced the number of its branches.
In its outlook, Standard Bank said it will forge alliances with distribution partners to expand its product offering in the context of Covid-19.
The transformation of consumer preferences has put Africa ahead of more developed economies and major emerging markets. According to the latest research from McKinsey & Co, around 82% of customers in the US use digital payments – defined to include online shopping through a browser or in-app. For its part, ACI Worldwide Inc says digital payments will account for 72% of all transactions in India by 2025.
