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Access Bank and Sava Join Forces to Revolutionize Small-Business Banking in South Africa

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A new player is entering South Africa’s dynamic digital small-business banking sector, promising to reshape the landscape for small and medium enterprises (SMEs). The South African Reserve Bank (SARB) has officially approved a strategic collaboration between Access Bank South Africa and fintech startup Sava, paving the way for a digital banking platform tailored specifically to meet the needs of SMEs.

Regulatory Approval and Market Readiness

With the green light from SARB and the Prudential Authority, Sava is poised to launch its innovative platform. The company has been diligently preparing for this moment, successfully completing industry testing, integrating into the National Payments System, and fulfilling all necessary conditions for a smooth go-live. Additionally, Sava has secured licenses from the Financial Sector Conduct Authority and the National Credit Regulator, ensuring full compliance with regulatory standards.

While the official launch date remains under wraps, the anticipation is palpable. Once operational, the platform will enter a competitive arena, facing established players like TymeBank, Bank Zero, First National Bank, Discovery Bank, and Capitec Bank, all of which offer SME-focused digital services.

A Vision for SMEs

Kolawole Olajide, CEO of Sava, expressed enthusiasm about the collaboration, stating, “We are thrilled to have received the necessary regulatory approvals, enabling Sava to transform the SME banking landscape in South Africa. Our platform addresses the unique challenges faced by SMEs, serving diverse businesses from traditional sectors to emerging fintech players, empowering them to thrive in an increasingly digital world.”

Founded in 2021 by Yoeal Haile, Federico von Bary Landesmann, and Olajide, Sava specializes in spend management solutions and accounting integrations designed to streamline financial processes for businesses. With operations in Kenya, Nigeria, Egypt, and South Africa, Sava’s expansion is bolstered by Access Bank’s support, alongside partnerships with industry giants like Microsoft.

Strengthening the SME Ecosystem

In March 2024, Sava partnered with Mastercard to enhance small, medium, and micro enterprises (SMMEs) through innovative payment technologies. This collaboration aims to provide small businesses with an integrated online platform that combines digital bank accounts and accounting tools, further empowering them in a competitive market.

Access Bank South Africa, a subsidiary of the Nigerian financial services conglomerate Access Bank Group, has been making waves in the region. The group recently announced its acquisition of Bidvest Bank in a R2.8 billion deal, which is expected to be finalized by the end of the current financial year. Following this, Access Bank plans to merge Bidvest Bank with Access Bank South Africa, creating a more robust platform to enhance its growth strategy across the Southern African Development Community.

Previous Partnerships and Future Prospects

This collaboration with Sava marks Access Bank South Africa’s second exclusive partnership aimed at serving the SME sector. In March 2022, the bank received regulatory approval for its partnership with Lulalend, resulting in the creation of Lula, a platform offering business funding solutions. Lula has since secured a US $20 million loan from FMO, the Dutch development bank, to support underserved SMMEs in South Africa, further solidifying its position in the fintech landscape.

The partnership between Access Bank and Sava represents a significant step forward in the evolution of small-business banking in South Africa. By leveraging technology and innovative solutions, this collaboration aims to empower SMEs, ensuring they have the tools and resources needed to thrive in an increasingly digital economy. As the launch date approaches, the industry will be watching closely to see how this new platform will impact the competitive landscape and support the growth of small businesses across the nation.

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