Chief Executive Officer Jason Quinn said: “We would prefer to own or control all of the operations that we’re involved in. You can execute strategy much more deliberately when you own businesses.

The board has approved a formal plan to dispose of the investment, and we are currently engaging interested parties and, if a sale is concluded, it will be a clean deal.”

Nedbank noted that Ecobank’s operations in Central and West Africa have been negatively impacted by foreign exchange volatility since it acquired the stake in 2014.

Since then, it has earned R6.8 billion ($378.6 million) in associate income, but only R400 million has been realised through dividends. The bank said the Ecobank investment currently carries a value of R1.8 billion, with a market value of R1.9 billion.

The lender added that its board and management weighed the risks of holding the stake, citing regulatory uncertainty, the potential need for additional capital to avoid shareholding dilution, and the exit of several South African clients from the region, which has limited cross-selling opportunities.

Nedbank became Ecobank’s largest shareholder in 2008 through a $500 million investment, formalising the partnership in 2014. The planned sale will mark the end of a 17-year strategic alliance between the two banks.

For the 1st time as traditional banking clients, informal traders, sole proprietors and single-director companies can now acquire a Nedbank POS device through a sleek and simple digital onboarding process via the Nedbank Money app and receive the device within 48 hours.

Nedbank’s new merchant acquiring solution places the power of digital capability in the hands of the business owner.

The solution also addresses cash flow challenges – the bane of many a small business’s existence – with same-day settlement of payments into their Nedbank account.

What’s more, merchants who bank with Nedbank will receive a full refund if they achieve the minimum turnover within a 3‑month period of trading – which will ultimately make the device free of charge.

‘One of the cornerstones of sustainable small-business success is their ability to receive payments quickly, easily and affordably,’ says Alan Shannon, executive for Sales Strategy and Enablement at Nedbank. ‘Unfortunately, SMEs and small merchants often find themselves entangled in a web of challenges when trying to implement card acceptance (also known as acquiring) solutions. Between expensive and complicated POS devices, cumbersome onboarding processes and lack of access to simple and reliable transaction information, many small merchants eventually find it difficult to see the value that a card acceptance system can add to their operations.’

Nedbank offers a choice of these 2 innovative devices:

PocketPOS – designed for fast-paced and mobile business environments. It offers a compact and affordable mobile card machine at a low once-off fee of just R499.

Android POS – perfect for businesses that need quick and efficient processing of payments and printing receipts. It features a high-resolution colour touchscreen display and comes at a once-off fee of R1 699.

Both solutions offer a full rebate on the device purchase price when merchants pay their receipts into their Nedbank account and achieve the minimum turnover. By doing so, businesses benefit from priority same-day settlement of inflows, resulting in improved cash flow management.

These devices can also accept American Express® (Amex) transactions at the same merchant service commission (MSC) rate as Visa and Mastercard charge, giving merchants wider acceptance and access to a bigger customer base using Amex Cards to earn Greenbacks.

Additionally, Nedbank provides the merchant with convenient and immediate self-service capabilities on the Nedbank Money app. Instead of having to phone a call centre or visit a branch or ATM, merchants can now use the app to request statements and transactional reports, log and track service requests, resolve POS errors and more.

Besides its innovative acquiring solutions for small merchants, Nedbank SBS also offers a comprehensive suite of business-building products and services tailored to the needs of small businesses.

With over 500 dedicated bankers in more than 200 locations, Nedbank brings a wealth of experience and expertise to the table, and offers everything from transactional banking products to payment and finance solutions – and even business investment opportunities.

Nedbank also offers its clients a choice to pay as they transact as well as bundled business accounts to cater for the diverse needs of small merchants.

Then there are the compelling funding and business growth opportunities available to Nedbank Business Banking clients, including GAP Access, which gives an advance of up to R1,5 million.

‘We believe that banking is not just about transactions; it’s about unlocking sustainable success and growth opportunities for small businesses,’ Shannon explains, ‘which is why our tailored solutions are designed to address the specific pain points and challenges faced by entrepreneurs, providing them with the support they need to thrive in today’s competitive market.’

Nedbank’s dedication to innovating to drive growth in the small-business sector has not gone unnoticed. The bank has been named the Best SME Bank in South Africa by The Asian Banker for 2 consecutive years and was recently also recognised as the Best SME Bank in the Qorus Reinvention Awards.

‘At Nedbank, we understand that small businesses are the backbone of our national economy, so our goal is to provide easy-to-use banking services and business tools that fuel their aspirations,’ Shannon says. ‘For small-business owners looking to streamline their payment processes and access growth opportunities, Nedbank’s small-merchants acquiring solutions and comprehensive offerings for small businesses are the keys they need to unlock lasting success.’

To enable these types of global connections, Nedbank has partnered with Western Union to offer a state-of-the-art money transfer solution that allows people to send and receive money between more than 200 countries and territories quickly, affordably and reliably, through the Nedbank Money App and internet banking platform.

According to Vanesha Palani, executive, Financial Management at Nedbank, the collaboration with Western Union represents another way in which Nedbank is harnessing the power of digital to add meaningful value in the lives of its clients and their families.

“Whether it’s a parent supporting a child studying overseas, a spouse or an adult child managing expenses for their family back home, or just sending some money to pay for an important celebration, this partnership ensures that people can stay connected no matter the distance that separates them,” Palani says.

She explains that Nedbank’s main goal with the solution is to provide a service that not only offers convenience and speed but also prioritises the security of people’s transactions and offers real value for money.

To deliver on these objectives, the offering leverages Western Union’s global network and combines it with Nedbank’s trusted banking services and digital leadership.

The result is the ability to send money to loved ones in over 200 countries and territories swiftly, with multiple payout options, including cash at Agent locations and transfers directly into bank accounts or mobile wallets.

According to Mohamed Touhami El Ouazzani, Regional Vice President of Africa at Western Union, the co-branded digital service is crucial as it provides customers even greater convenience when sending and receiving money around the world.

“We are excited to launch Western Union’s international money transfer services on the Nedbank Money App and internet banking platform,” he says. “South Africa is home to the highest number of international migrants on the African continent and it also has significant diaspora communities abroad. Combining Western Union’s extensive global network with Nedbank’s innovative platform makes financial services accessible to these populations – ultimately nurturing even stronger connections between people, their families and communities.”

Palani emphasises that the collaboration not only promotes financial inclusion by providing access to financial services for both senders and receivers, but also showcases the power of digital in connecting people across borders.

“We understand that every cross-border transaction is far more than just sending money; it’s a way of sharing in life’s significant moments,” she adds. “so this global money transfer service in conjunction with Western Union is Nedbank’s way of doing good by helping people strengthen these emotional bonds.”

The toolkit was inspired by the numerous requests SimplyBiz received from its members for more information about trading beyond South Africa’s borders, including regular questions about compliance requirements, market opportunities, and trade treaties.

The Trading in Africa Toolkit is part of SimplyBiz’s focus on empowering small businesses to grow, scale and be sustainable.

SimplyBiz offers business owners advice, inspiration, access to mentorship, educational articles, and webinars, as well as finance and market access opportunities.

The Trading in Africa Toolkit answers pertinent questions about expanding into African markets and demystifies cross-border African trade. It also provides SMEs with the knowledge and tools they need to take advantage of Africa’s wealth of potential to build businesses.

The African continent is brimming with immense business opportunities thanks to its rapidly growing and increasingly urbanised consumer market, much of which comprises aspiring and upwardly mobile youth.

This means that, for SMEs on the continent, there is unmatched potential for entrepreneurial growth across all 54 of Africa’s diverse nations.

That said, capitalising on Africa’s myriad investment opportunities is not a simple feat, given the complex web of regulations, cultures, and trade environments that need to be navigated.

‘Sustained business growth requires increased income from new markets coupled with diligent expense management,’ explains Alan Shannon, executive head at Nedbank Small Business Services and Private Clients, ‘and while the digital age has expanded information access, clear and objective global trade resources are still in short supply.’

Shannon says that the SimplyBiz Trading in Africa Toolkit addresses this gap, delivering essential insights to drive informed and profitable expansion across Africa.

Developed in close collaboration with In On Africa (IOA), a pre-eminent pan-African research and advisory firm, the toolkit harnesses more than a decade of IOA data-driven market intelligence and on-the-ground experience across all 54 African countries.

This powerful knowledge base has been distilled into practical guidance for SMEs, giving them an in-depth understanding of each nation’s regulatory environment, cultural nuances, trade policies, and sector opportunities.

‘The toolkit’s comprehensive overviews and analyses, covering the full scope of the African trade landscape, will undoubtedly prove indispensable for SMEs looking to strategically evaluate Africa’s market potential,’ says Shannon, ‘and thanks to IOA’s rigorous research methodologies, toolkit users can be assured of accurate and up-to-date insights and valuable economic indicators.’

Crucially, the Trading in Africa Toolkit does not simply diagnose the challenges of intra-Africa trade; it also provides tailored strategies to overcome complexities and mitigate risks. In this way, the toolkit is a highly practical playbook for SMEs, detailing best practices they can leverage to profitably navigate Africa’s diverse markets.

Shannon describes it as an accessible, independent and essential African expansion resource. ‘The ultimate mission of this toolkit is to cultivate informed and strategic decision-making that unlocks Africa’s limitless economic potential and empowers entrepreneurs to introduce their products and services into new African markets,’ explains Shannon.

The toolkit is available for free on the SimplyBiz website at simplybiz.co.za and shows the commitment of both SimplyBiz and Nedbank to fostering an enabling an environment that encourages SME growth through extensive market access, practical tools, business guidance and networking opportunities.

These exciting activations are aimed at first- and-second-year students during X-week, aptly derived from the traditional orientation week or O-week.

This year, the YouthX by Nedbank Team is helping the youth unlock their X (potential) at Wits, Tshwane University of Technology, Nelson Mandela University, University of KwaZulu-Natal (Westville) and the University of Venda.

‘Our drive aims to take the bank to the youth, rather than wait passively for them to come to us. As financial experts who do good, this is important to us and we can’t leave it to chance,’ says Buli Ndlovu, Executive Head of Retail and Business Banking Marketing at Nedbank.

YouthX by Nedbank is committed to making a real difference in young people’s lives and helping them to secure their financial futures.

‘Financial literacy is an essential tool for a successful life, and Nedbank is really committed to making sure it plays its part in educating the youth about the need to make better money choices early every time they spend, borrow or invest,’ says Buli. ‘Whatever a student’s X is – studying, building a solid side hustle, researching career options –Nedbank is there to lend a hand.’

Each campus visit lasts 4 days, and the Nedbank X-week stand features not only professional bankers to help the students choose the right banking products, but also opportunities to have some fun with friends and win prizes, including a tablet. It’s all part of an ongoing strategy to put Nedbank and its specially designed offerings into youth spaces where it will make the most impact.

The bank has also had a presence at the popular youth-oriented music and talent events Cotton Fest and Hey Neighbour.

To complement its youth programme, Nedbank created the MiGoals suite of digital-first products aimed at helping South Africans manage their finances with products that are both cost-effective and fit for purpose.

For example, the basic MiGoals product offers simple, low-cost pricing – a low R5 monthly fee; a flat R1 fee for the purchase of prepaid airtime, data and electricity; while the fee for cash withdrawals at retailers, debit orders and electronic account payments is an affordable R2. Accountholders also qualify for a 50% discount at NuMetro.

Nedbank helps the youth stay ahead of the game as they navigate the next stage of their life after graduation.

MiGoals offers them a way to access more sophisticated offerings in line with their growing financial needs via MiGoals Plus and Premium Accounts.

‘We want to continue unlocking the youth’s potential as they evolve into young professionals building successful careers, pursuing their business ventures and living their best lives,’ Buli says.

The initial X-week activation at Wits proved to be a huge success. The Nedbank stand attracted significant foot traffic with the captivating buzz around the game-show element catching everyone’s attention.

Most importantly, our financial literacy efforts led to over 350 students signing up for MiGoals accounts – the first step in their journey to financial stability.

Students need bank accounts to transact daily and especially if they are getting NSFAS grants to fund their higher education needs.

‘Being there on campus, and in a way that resonated with the student vibe was important and was appreciated by the students on campus,’ Buli says. We realise that first- and second-year students are still under huge time pressures as they come to grips with the new campus experience, therefore, YouthX by Nedbank brings banking closer to them in a very approachable and convenient format.

A MiGoals account is easy to open and manage on your phone using the Nedbank Money app, a plus for the mobile-first generation. Students can also access Nedbank’s mobile platform, Unlocked.me, for free information and tools designed to help them unlock their X, at varsity or later in the world of work.

Unlocked.me offers expert career advice, insights into healthy money habits and a host of special deals on fashion, lifestyle, tech and travel.

It also offers the MoveUp tool, which opens up a range of courses to help individuals create a smart CV, ace a job interview or manage money wisely – all from their cellphone.

In a bid to demystify money management, Nedbank Private Clients recently hosted an enlightening webinar in which panellists Khanya Modipa, a fitness and wellness entrepreneur, and Thapelo Tsiu, Senior Manager of Financial Wellness and Education at Nedbank, shared their wisdom on leveraging financial literacy to secure a financial future that is as strong as it is sustainable.

Some of the valuable insights and guidance they shared during this Financial Wellness enlightening session included the following:

1 Set long-term financial goals. Modipa emphasised the importance of setting long-term financial goals, specifically mentioning the often neglected aspect of retirement planning. ‘Contrary to popular belief among young people, retirement planning isn’t a far-off concern,’ she explained.

‘It should be a part of immediate financial priorities. The sooner you start planning, the more secure and comfortable your retirement will be.’

2 Master the tax game. The panellists agreed that understanding taxation is another cornerstone of financial wellness. According to Modipa, young professionals should not only be aware of how to save on taxes, but also actively use all existing tax incentives to build their future wealth, particularly those related to retirement savings.

‘Investments in qualifying pension funds or retirement annuities offer significant tax benefits, making it an essential avenue to explore,’ she pointed out, ‘and there are many other tax structures that can help ensure you pay SARS only what you have to – so it’s always a worthwhile investment to consult with a tax expert.’

3 Build a financial buffer with an emergency fund. Both panellists agreed on the necessity of an emergency fund. They suggested aiming to save at least 3 to 6 months’ worth of your monthly salary in a liquid account.

Importantly, the objective here isn’t to earn maximum interest – it’s crucial to have quick access to these funds in cases of emergencies, such as a loss of employment or other income.

4 Develop an investment mindset. Another point both Modipa and Tsiu agreed on is the value of having an investment mindset.

They advised against chasing quick wins or relying on hearsay and instead undertaking comprehensive research to understand various investment options and aligning them with your financial goals.

Setting up regular automated investment deposits was also highlighted as an effective way to grow your financial portfolio consistently.

5 Make the most of debt, carefully. Tsiu provided valuable insights into understanding and managing debt. ‘Contrary to common perception, not all debt is bad,’ he explained, ‘and when managed wisely, it can serve as a financial lever.’

He used credit cards as an example, explaining that using a credit card responsibly can build a good credit score, which is vital for acquiring larger loans like car and home loans in future.

However, he cautioned against becoming over-indebted or losing sight of the fact that an interest rate hike can add significantly to your debt repayments, which is something you should always keep in mind when spending on credit.

6 Harness the power of collective savings. Modipa confessed to being an ardent advocate of stokvels, which is a popular form of collective saving in South Africa.

She argued that, rather than being ‘old school’, these arrangements are an excellent way to maximise savings by pooling your resources with friends or colleagues to ensure you have enough capital in a savings account to earn the highest tier of interest. ‘Besides amplifying your savings power, a stokvel helps you stay disciplined in your savings, because you are accountable to everyone else involved in the scheme.

You have no choice but to make your monthly deposits,’ she explained.

Asked for their most valuable money management lessons, Modipa and Tsiu offered numerous other pearls of financial wisdom, including the following:

• Watch out for lifestyle creep, which can hinder your financial goals.
• Be aware of the impact of Black tax and set clear boundaries for dependent family members.
• Preserve your pension fund when changing jobs.
• Establish a comprehensive financial plan with a professional planner.
• Leverage technology to manage your money more efficiently.

While the webinar offered a wealth of valuable money management advice, the most important message was that it’s not enough for young professionals to rely solely on their monthly salaries or even their planned career development to create the future they want.

Building that future begins with ongoing financial education to equip yourself with all the knowledge and tools you need, and then follow the wealth creation path you have set with discipline and tenacity.

For more money management tips, see Money Management Guide (nedbank.co.za).

[Featured Image Credit]

Like everybody else, doctors face the challenges of everyday life which, in South Africa, include power and water outages, as well as the normal pressures of family life and rising living costs.

Perhaps more than other professionals, doctors also find it hard to strike a decent work–life balance: illness and emergencies don’t keep office hours.

At whatever stage of their careers that they might be at, doctors are chronically short of time. One of the potential casualties of this time shortage is their financial affairs.

Busy doctors simply lack the time to go into branches to perform complex transactions or get advice.

They also do not have the time (or often the expertise) to develop effective investment strategies. In a similar vein, if and when they decide to go into private practice, they can find it difficult to acquire the knowledge to set up and run their businesses profitably.

While banks cannot solve all these problems, they can certainly position themselves to help with most of them. The banking industry has been an active and early adopter of technology, and one of the benefits of this is the ability to develop and deliver focused service offerings for niche market segments—doctors in this case.

You might sceptically ask, ‘What that would look like, and how could a bank possibly help a busy doctor?’

Based on my own experience leading a team within Private Clients that focuses on medical professionals, the key benefit a bank can offer a doctor is a dedicated relationship banker. A relationship banker is the client’s wingman in the bank: a single point of contact for all their financial needs – somebody who knows all the bank’s specialists and can call on them when needed.

It goes without saying that such a relationship banker would be highly versed in the financial complexities of the medical profession.

A relationship banker is somebody who is available anytime, ideal for busy doctors with erratic schedules, and on any channel, so there is no need to waste time on in-person meetings. If this becomes necessary, or documents need to be delivered, the banker will deliver them personally.

It’s all about minimising the time doctors need to take out of their busy schedules to attend to financial matters, but in a way that their financial futures are protected.

As members of the Private Clients family, doctors would be in line to benefit from a range of ‘perks’ such as access to airport lounges, travel insurance and so on.

A key pain point for doctors is the final year at varsity. It’s make-or-break time, with insanely long hours and the brutal pressure of finals. And then, without a pause, it is time to start internships.

To help navigate that, we don’t offer just a relationship banker but also zero monthly fees for the last 12 months of their final year, and reduced fees for the beginning of the internship until they reach 30.

With that kind of help, the soon-to-be doctor can start their working life with the necessary bank accounts and, even better, somebody who has their back when it comes to finances.

As the doctor’s career develops, the relationship banker can play an evolving role, helping them set themselves up for financial success. This could mean sound advice about how to budget in order to invest for their children’s education and retirement.

A particular benefit would be expert help with setting up a private practice, if that is required. Like any business, a doctor’s practice needs to have a clear business plan, with particular emphasis on cash flow.

A skilled relationship banker can help create the business plan and model the cash flow, thereafter helping to access finance as needed.

Doctors have a huge role to play in making our societies better, and with the right kind of bank, they can get the financial rewards they deserve.

Nedbank, one of the largest financial services groups in Africa, has partnered with Africarare, Africa’s first metaverse, and secured a 12×12 village in Ubuntuland on which to establish its presence as the first African financial services organisation to enter the metaverse.

This forms part of the financial services group’s strategy to lead in digital, go beyond banking, discover new marketing platforms and leverage new technology to better serve its customers and stay at the forefront through forward-thinking solutions.

The Nedbank village with a focus on customer value and services, will contain numerous experiences ranging from virtual gaming, a sports lounge and more.  

Nedbank joins global players such as DBS Bank, HSBC, Fidelity Investment and JP Morgan who have partnered with metaverses globally. Africarare, Africa’s first metaverse is highly sought-after by companies and individuals wishing to capitalise on the multiple opportunities presented by the metaverse. The early settlers in Ubuntuland include MTN, World Data Lab, and M&C Saatchi Abel.

“Creating experiences that go beyond banking has always been a focus for Nedbank. Our entry into the metaverse is not merely about having a presence in this space, it’s about meeting the needs of our clients on platforms that resonate with them, while offering an array of touchpoints that continue to demonstrate our commitment to lead in digital,” says Khensani Nobanda, Group Executive for Marketing and Corporate Affairs at Nedbank Group.

Fred Swanepoel, Nedbank’s Chief Information Officer says: “As Nedbank, we want to remain at the forefront of the technologies that will enable the next wave of digital business models, so we’re investing in web 3.0 and the newer open source technologies on which the Metaverse is built. It’s important for us as Nedbank to continue leading and advancing our digitisation journeys which have already yielded excellent results for the Group, and enable Nedbank to engage in the future digital market places, where we believe we will need to meet and serve our clients.”

“We are thrilled to welcome Nedbank into Ubuntuland and look forward to creating positive change with them,” said Mic Mann, Co-founder and CEO of Africarare. “By entering the metaverse, this organisation will pave the way for new solutions for Africa and play a role in the future of banking in this exciting world,” he added.

Africarare, Africa’s first metaverse was established to unlock African potential and connect Africa to the global digital economy.