South Africa has the largest and most developed financial sector in Africa, with a twin peaks model: the Prudential Authority inside the South African Reserve Bank supervises banks and insurers, and the Financial Sector Conduct Authority supervises market conduct and financial services providers. It was one of the first major economies to bring crypto asset intermediaries into licensing, by declaring crypto assets a financial product in 2022.
Risk flagStandard
FATFNot listed
EU AML high-risk listNot listed
EU tax listNot listed
Licence regimes6
CurrencyZAR
S&P ratingBB
Next electiondue by 2029
South Africa was on the FATF grey list from February 2023 until it exited on 24 October 2025 and was not relisted at the 17 to 19 June 2026 plenary; it was removed from the EU high-risk list by Delegated Regulation (EU) 2026/83, reflected in the consolidated list applying from 29 January 2026, and is not in Annex I of the EU tax list as of 17 February 2026. Checked 7 October 2026.
Government and politics
Government
Parliamentary republic with an executive president
President
Cyril Ramaphosa · since February 2018
President
Cyril Ramaphosa (African National Congress)
Governing parties
Government of National Unity led by the African National Congress with the Democratic Alliance, Inkatha Freedom Party, Patriotic Alliance, Freedom Front Plus and other smaller parties
Last election
General election (National Assembly and provincial legislatures), 29 May 2024
Next election
General election, due by 2029. Local government elections are due between late 2026 and early 2027
Legislature
Parliament: National Assembly (400 seats) and National Council of Provinces (90 delegates)
Legal system
Mixed system of Roman-Dutch civil law, English common law and customary law
Economy and finance
Population
64.7m (2025)
GDP
USD 427.1bn (2025)
GDP per person
USD 6,769 (2025)
Currency
South African rand (ZAR), floating
Central bank
South African Reserve Bank
Credit rating
S&P BB (positive) · Moody's Ba2 (positive) · Fitch BB (stable) (as of June 2026)
Africa's most industrialised economy, built on mining, manufacturing and services, with Johannesburg hosting the continent's largest stock exchange and most sophisticated banking system.
Bank
Bank registration (authorisation to establish under s.12, registration under s.16)
Minimum capitalUSD 15m
TimelinePA guidance: overall process generally 6 to 9 months; registration must be applied for within 12 months of authorisation to establish
AuthorityPrudential Authority, with the concurrence of the FSCA
Minimum capital of R250 million for banks and for subsidiaries or branches of foreign banks; minimum total capital adequacy ratio at least 11.5% and leverage ratio at least 4% (Directive 6 of 2017)
Law
Banks Act 94 of 1990, s.12, s.16 and s.18A (foreign institutions); s.37 (shareholding above 15% needs approval)
Fees
Prescribed fees under regulation 58 of the Regulations relating to Banks (amounts not stated in the PA guide)
Passporting
No passport; foreign banks need a local subsidiary or branch authorised under s.18A.
Key requirements
Applicant must be a public company under the Companies Act 71 of 2008
Two-stage process: authorisation to establish, then registration within 12 months
Fit and proper directors, executives and significant shareholders; no acquisition above 15% without approval
Business plan, risk management, governance and funding/liquidity frameworks acceptable to the PA
Newly established banks may face a higher capital adequacy ratio in their early years
Third party payment provider (TPPP) and system operator registration
Minimum capitalNot published
TimelineNot published
AuthoritySouth African Reserve Bank (registration functions moved from PASA to the SARB on 2 September 2026)
Law
National Payment System Act 78 of 1998; SARB Directive No. 1 of 2007 (payments to third persons, Government Gazette 30261 of 6 September 2007); Directive No. 2 of 2007 (system operators)
Passporting
No passport.
Key requirements
Persons that accept money or payment instructions from payers to pay third persons as a regular feature of business fall under Directive 1 of 2007
Until 2 September 2026 TPPPs were registered with PASA through their sponsoring bank; existing registrations remain valid
New applications follow the former PASA criteria until the SARB publishes its final Authorisation Framework
Financial services provider (FSP) licence for crypto asset services
Minimum capitalNot published
TimelineNot published
AuthorityFinancial Sector Conduct Authority
Law
Financial Advisory and Intermediary Services Act 37 of 2002, s.7(1) and s.8, read with the FSCA Declaration of crypto assets as a financial product (Government Gazette, 19 October 2022); Financial Intelligence Centre Act, 2001, Schedule 1 item 22
Passporting
No passport.
Key requirements
Anyone rendering advice or intermediary services on crypto assets as a regular feature of business must be an authorised FSP or a representative of one
Covers administration, safe custody, trading on behalf of clients, trading platforms, sales, marketing and advice
Crypto asset service providers are accountable institutions under the FIC Act and must register with the FIC and run AML/CFT programmes
Crypto assets are not money or legal tender and fall outside the NPS Act (SARB and FSCA Joint Communication, 28 May 2026)
National Gambling Board and Provincial Licensing Authorities (NGB) · websiteOnline gaming
Payments reform: the SARB published a draft Directive on specified payment activities (May 2026) that would license non-bank payment institutions by activity, with draft initial capital of R8 million for Tier 1 e-money issuers, R5 million Tier 2 e-money, R3 million acquiring, R2 million payment initiation, R2 million Tier 1 and R500,000 Tier 2 TPPPs, and R2 million Tier 1 and R500,000 Tier 2 money remittance. These are draft figures, not yet in force, so min_capital is null for payments. The SARB still lists its Position Paper 01 of 2009 on electronic money as the current e-money policy; the draft directive would create the first activity licence for non-bank e-money issuers. PASA's recognition as payment system management body was withdrawn and its licensing functions moved to the SARB (transition completed 2 September 2026). OTC derivative providers and market infrastructures are licensed by the FSCA under the Financial Markets Act 19 of 2012; no capital figure was verified. Co-operative banks are registered under the Co-operative Banks Act, 2007; thresholds were not verified. FSP capital and financial soundness requirements and FSCA fees could not be retrieved from an official page and are left null. The next FATF mutual evaluation of South Africa is expected to start in the first half of 2026 and end in October 2027 (National Treasury).
General information
About South Africa
Natural Earth boundaries. Map is indicative.
Status
Sovereign state
Capital
Pretoria (administrative); Cape Town (legislative); Bloemfontein (judicial)
Largest city
Johannesburg
Area
1,219,090 km²
Official languages
isiZulu, isiXhosa, Afrikaans, Sepedi, Setswana, English, Sesotho, Xitsonga, siSwati, Tshivenda, isiNdebele, South African Sign Language
Time zone
UTC+02:00
Main exports
gold
platinum
coal
cars
iron ore
Main export partners
China
United States
Germany
India
United Kingdom
Sources for the country information(8)
Country information checked 9 October 2026. Licensing data updated 7 October 2026. Information only, not legal advice; requirements change. Regulatory notice.
