The South African Reserve Bank (SARB) has released a Draft Authorisation Framework for public comment, marking a potential turning point for the payments industry. If approved, the framework would give fintechs and financial institutions the ability to apply directly for payment licenses to issue payment cards and conduct other regulated payment activities without needing to operate under a bank’s BIN sponsor license.
This shift opens the door for renewed growth in South Africa’s fintech space. EFT Corporation enables banks and fintechs to bring card issuing and mobile money services to market efficiently – without the burden of building infrastructure in-house.
For many fintechs and aspiring card issuers, the challenge of securing a BIN sponsor has historically slowed or sidelined progress. EFT Corporation understands this first-hand, having supported multiple clients whose programmes were put on hold amid broader industry shifts. The proposed framework offers a renewed pathway – and EFT Corporation is ready to help these initiatives move forward.
What the Draft Framework Means for Fintechs and Financial Institutions
Under the new directive, businesses that apply for and secure a SARB payment license will be able to offer services across EFT Corporation’s core product pillars: Banking-as-a-Service, Issuing, Acquiring and Switching and Payment Processing – while remaining fully compliant within South Africa’s regulated ecosystem.
Building this capability in-house can be complex and time-consuming. EFT Corporation helps simplify the journey by offering deep expertise, proven platforms, and implementation support to get clients to market faster and more securely.
How EFT Corporation Can Help Fintechs Scale Under the New SARB Payment License Framework
Regulatory changes, especially those affecting core banking infrastructure, can be daunting. That’s why EFT Corporation is dedicated to helping financial institutions and fintechs scale with confidence, ensuring security and compliance every step of the way.
EFT Corporation’s Value Proposition:
- Cost-effective by design – Our scalable technology reduces overheads and simplifies regulatory compliance.
- Complexity made simple – We manage the technical infrastructure so partners can focus on growth.
- Trusted across the continent – Our decades of experience span Africa’s most dynamic markets.
- Speed without compromise – Go to market faster with a partner who understands compliance, integration, and local realities.
Preparing for What’s Next
Although the SARB payment license framework is still in draft form, now is the time to act. Submitting feedback during the public comment period is important – but so is preparing your systems, teams and partners for what’s likely to come.
By working with a technology enabler like EFT Corporation, you can:
- Accelerate your compliance readiness
- Reduce operational risk
- Launch new services with confidence
- Stay ahead of regulatory shifts
The SARB’s Draft Authorisation Framework marks a pivotal moment for South Africa’s payments industry. Whether you’re a fintech startup or an established financial institution, the time to prepare is now.
With EFT Corporation as your trusted partner, you don’t have to navigate this alone. We simplify complexity, reduce costs, and help you go to market faster while staying compliant with evolving regulations.
