Banks’ Grip on Payments Faces a Shake-Up as SARB Opens the Door to Fintechs

17 October 2026 · Reporting based on official statements and independently published sources dated 16 October 2026.

A major change to who can move money

South Africa is preparing to allow qualifying fintech companies, telecommunications operators and retailers to access its national payment infrastructure directly rather than relying on banks as intermediaries. A South African Reserve Bank official outlined the timetable on Friday, 16 October, as part of the bank’s Payments Ecosystem Modernisation programme.

The reform could alter the economics of digital payments for small businesses and consumers. The Reserve Bank says a broader set of licensed participants should encourage competition and lower the cost of transactions, while preserving the security of the payment system.

When will it actually happen?

Pradeep Maharaj, the SARB executive responsible for the modernisation programme, told journalists that payment-activity rules and exemptions are expected to be published by November 2026. The first non-bank participants could go live around March 2027 after authorisation, testing and integration, ahead of a wider rollout later in the year.

These are implementation targets, not evidence that new providers are already operating independently on the national settlement system. Access will depend on the final regulatory framework and the readiness of individual firms.

Why PayShap and cash access are part of the same story

The modernisation agenda also seeks to improve interoperability and the reach of fast-payment services such as PayShap. The central bank’s programme envisages infrastructure that allows a wider range of providers to offer convenient, secure digital transactions.

At the same time, SARB is considering a national cash utility and shared, unbranded ATMs. A pilot for the ATM concept is expected in January 2027, with wider deployment planned by the end of that year. The intention is to reduce the cost of distributing cash while maintaining access in underserved areas.

The test will be price, reach and trust

For merchants, the promise is more choice in payment providers and potentially lower acceptance costs. For customers, it is easier access to digital money without needing every transaction to pass through a traditional bank relationship.

Those gains are not automatic. Licensing standards, fraud prevention, technical integration and actual pricing will determine whether the reform delivers measurable improvements. The Reserve Bank’s forthcoming rules will provide the next concrete milestone.