Tag: FinTech

For years, banks have modernised around channels. Mobile apps have improved. Onboarding has become faster. Customer engagement has also become more personalised. These improvements matter because customers experience them daily. However, a more difficult shift is now underway.

Digital business is the new frontier of modern entrepreneurship, and applications (apps) have become the gateway to almost every service imaginable. In a global economy driven by interconnectivity and advancing technology, start-up companies in all digital industries, particularly in FinTech, are quickly becoming the Oil and Rail industry equivalent of the 21st century.

FY26 marked a year of delivery, with strong results, disciplined capital allocation and accelerating Artificial Intelligence (AI) innovation. Prosus delivered across its AI-powered Lifestyle Ecosystem of delivery, finance and experiences, while all regional ecosystems achieved profitability.

FY26 was a year of delivery: strong results, disciplined capital allocation and accelerating Artificial Intelligence (AI) innovation. Naspers delivered across its AI-powered Lifestyle Ecosystem of delivery, finance and experiences, with all regional ecosystems profitable.

For most of the past decade, African fintech was a land grab. Valuations rewarded user numbers. Interfaces became flashier. “Disruption” became the pitch that attracted capital investment. From the outside, it was clear that the model was running hotter than it could sustain. However, that era is over.

The South African Reserve Bank (SARB) has published the third version of its proposed amendment to the payments regulatory framework. The amendments focus on two key instruments. These include a draft exemption notice that excludes certain payment activities from constituting “the business of a bank”, and a revised draft Authorisation Framework set out in a draft directive.

The fines scam. The South African Revenue Service (SARS) refund. The parcel that needs clearing. If you have a South African cellphone number, you have likely encountered all three. Fraud has become part of the background noise of digital life. Consequently, most people have developed a reflexive response: delete, ignore and move on. However, a more difficult question now confronts banks, fintechs and payment platforms.

In 2029, tokenised transactions are expected to double in value from $283 billion in 2025 to $574 billion. This market growth largely stems from the rapid rise of mobile payments, digital transformation and expanding ecommerce activity. In addition, security, personalisation and privacy continue driving adoption. While tokenisation applies easily across multiple industries, retailers increasingly use it to secure transactions.

Picture a rainy Wednesday morning in Sandton, sometime in the near future. A claims handler opens their laptop. Right away, things move much faster than before. For every new email, the company’s Artificial Intelligence (AI) system drafts a suggested reply. The inbox is also lighter. A public chatbot handles most client and broker queries because it has been trained on policy wordings and continues to improve. Need a meeting? An AI assistant schedules it, sets reminders, and even takes minutes.

Our philosophy has not changed; the environment in which we execute it has. For over two decades, our investment philosophy has been grounded in a simple principle. High-quality companies that can reliably grow dividends tend to deliver more predictable long-term outcomes. This principle remains the foundation of how we invest. However, the environment in which we apply this philosophy has changed.