SARB goes digital - but can it swipe right on informal economy?

SOUTH Africa’s central bank is driving a major shift toward digital payments at the same time as current systems don’t serve informal markets and low-income communities effectively.

- NICOLA MAWSON

The South African Reserve Bank (SARB) is committed to implementing its Payments Ecosystem Modernisation (PEM) initiative to transform the country’s financial infrastructure, SARB chief operating officer, Pradeep Maharaj, told delegates at the BankservAfrica Payments Conference 2025 this week.

BankservAfrica is South Africa's automated clearing house for payment transactions.

“If we continue to rely on outdated payment methods, we risk remaining at a lower equilibrium where digital payments remain exclusive, transaction costs are high, and digital payments inclusion is an unfulfilled promise,” Maharaj said.