Rich South Africans are buying homes in one of the safest countries in Africa
More wealthy South Africans are buying homes in Namibia, ranked as one of the safest countries in Africa, for tax benefits and permanent residency.
apitec, South Africa’s largest bank by clients, released a trading statement on Wednesday, 13 August, outlining the bank’s expected performance in the six months through August 2025.
The company expects a significant increase in earnings and headline earnings for the period, with projected growth of between 22% and 27%.
Capitec attributed this growth to a strong performance across all of its business units, from credit to insurance.
In the six-month period, Capitec’s loan disbursements increased, and its annualised credit loss ratio remained stable.
Coupled with growth in the bank’s net investment portfolio, this led to an increase in net interest income after credit impairments.
Notably, the bank explained that the simplification of its transaction fees and merchant commission structure, as well as a reduction in transaction fees during the period made a meaningful difference to its clients.
In January 2025, Capitec introduced a new tiered structure to simplify and, in some cases, reduce its banking fees for 2025.
The new structure simplified banking fees by introducing reduced prices for key services.
This structure revolves around five key price points: R1, R2, R3, R6, and R10. It simplifies over 30 price points into these tiers:
- R1: Payments between Capitec accounts, including Capitec Pay.
- R2: Payments to other banks via EFT or PayShap.
- R3: Debit orders.
- R6: Immediate payments for real-time transfers.
- R10: Cash withdrawals per R1,000 at Capitec or other banks’ ATMs.
Aside from the positive impact on clients, Capitec also recorded growth in net transaction income and commission over the six-month period, including value-added services and income from Capitec Connect.
The company said this income was boosted by continued growth in active client numbers and transaction volumes.
Capitec is set to release its full interim results for the six months ended 31 August 2025 on or about 1 October 2025.
This will be the bank’s first set of results released under the leadership of new CEO Graham Lee after founder Gerrie Fourie handed over the reins earlier this year.
Issued on Daily Investor by Blanke Neethling | https://dailyinvestor.com/banking/97811/capitecs-new-era-begins-with-a-bang/
