South Africa – Capitec is stepping up its competition with First National Bank (FNB) by targeting South Africa’s lucrative stokvel market, where an estimated R50 billion is saved collectively each year.
According to Billionaires.Africa, Capitec launched its Stokvel Account on 10 September 2026, targeting a market estimated at about 800,000 stokvels and 11 million members.
The figures, attributed to the National Stokvel Association of South Africa (NASASA), have also been reported by Moneyweb, which cautioned that the figures are estimates rather than an audited measure of the entire stokvel industry.
Capitec personal banking executive Basani Maluleke said the new offering had taken considerable time to develop.
The product had been “in gestation for a good two years,” Maluleke said, according to Billionaires.Africa.
Strong presence
The move puts Capitec directly into a market where FNB has established a strong presence.
Daily Investor reported that FNB has traditionally dominated stokvel banking, while Capitec is now betting on its large customer base and digital reach to win a share of the market.
FNB has also been expanding its own digital stokvel offering. Business Day reported earlier this year that FNB was targeting about 120,000 stokvel clubs with an enhanced digital offering, as younger South Africans increasingly use stokvels for longer-term goals such as buying property, vehicles and starting businesses.
FNB’s current stokvel product allows members to view balances and transactions digitally, while payouts require approval from three signatories. The bank says its stokvel account can earn interest of up to 6.25%, depending on the applicable rate.
Capitec is offering a similarly digital approach. According to the bank, its Stokvel Account allows groups to save towards shared goals, track contributions in real time and view transactions transparently. The account has no monthly administration fee, earns interest from the first rand saved and uses dual approval for transactions.
Traditional retail banking
The push comes as Capitec continues to expand beyond traditional retail banking. The bank reported R9.5 billion in headline earnings for the six months to August 2026, up 19% from the previous year, while its active client base reached 26.6 million.
Capitec CEO Graham Lee said the group’s strategy was built around “simplicity, affordability, accessibility and a personalised experience”, as the bank expands its personal banking, business banking, fintech and insurance operations.
The broader growth strategy has also been highlighted by the Financial Times, which recently reported that Capitec is looking beyond its traditional retail banking base towards South Africa’s informal economy and small businesses.
For Capitec, the stokvel market offers access to a large pool of collective savings while allowing the bank to deepen its relationship with customers who already use its digital banking platform. For FNB, the move represents growing competition in a segment where community trust, convenience and digital access are becoming increasingly important.
With millions of South Africans participating in stokvels and billions of rand circulating through the sector annually, the battle between the two banks is likely to intensify as financial institutions compete for a greater share of the country’s collective savings market.
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Compiled by Betha Madhomu
