Payment reforms open access to non-banks and expand instant payments

The proposed Exemption Notice and Authorisation Framework would let regulated non-banks conduct specified payment activities without accessing the system through banks.

Kganyago distinguished payment firms from banks, whose maturity transformation warrants stricter regulation.

Governance, customer-fund safeguards, operational resilience and reporting requirements would remain.

SARB intends to publish the framework by the end of November 2026 and pilot interoperable merchant codes, QR+, in Q1 2027.

It will continue developing PEMKey, a digital identity with reusable credentials in user-controlled wallets.

Consent, privacy safeguards and correctable data would govern reuse; essential payments must not depend on unrelated data consent.

Since its 2023 launch, PayShap has exceeded 1 billion transactions worth over R1 trillion; the South African Multiple Option Settlement system can settle R1 trillion daily.

Last year, PayShap volumes were about 6 percent of card transactions and below 40 percent of electronic funds transfer credits.

A 2023 survey put cash at 56 percent of payments and digital payments below 0.2 percent.

By end-March 2027, SARB aims to start tackling inconsistent user experiences, pricing, low awareness and limited merchant acceptance.

Larger closed-loop systems would face stronger obligations to connect.