Banking

Capitec and Standard Bank just made a huge leap in South Africa

Staff Writer

 ·14 Jul 2026

South Africa’s biggest banks continue to dominate in Africa when it comes to Tier 1 Capital, with the country’s leader, Standard Bank, extending its lead significantly, and Capitec jumping ahead of Investec.

This is according to The Banker‘s annual ranking of the world’s top 1000 banks, which included six local banks in 2026.

The Banker’s ‘biggest bank’ ranking focuses on Tier 1 Capital, which represents a bank’s core capital—considered the most reliable and stable source of funds.

Tier 1 Capital is a key measure of a bank’s financial health and ability to withstand losses.

In a significant acceleration from the 2025 rankings (which focused on FY2024), all of South Africa’s banks continued to show solid growth in Tier 1 Capital in 2026 (focused on FY2025).

Across the top six banks listed, Tier 1 Capital grew by 17.6% to $51.1 billion in FY2025, following a significant 10.1% rise the year before.

Standard Bank maintained its number one position, which it has held onto for the last decade.

However, while it was once just ahead of frequent number two, FirstRand, the latest ranking shows the gap has widened.

In terms of T1 Capital, Standard Bank now holds a solid lead over FirsRand and other banks, with T1 Capital growing to $16.1 billion—up a massive 24%.

FirstRand also showed double-digit growth, with T1C up 13% to $12.5 billion. Absa (consistently ranked third) is now coming in closer, with its T1C at $10 billion (up 19%).

The Banker noted that South Africa’s banks punch above their weight on a global scale, but still lag behind other regions, accounting for less than 1% of T1C in the combined ranking.

However, while none of the local banks is in the top 100, aggregate profits and T1C growth are far above the Top 1000 aggregate.

The finance publication noted that South Africa’s banks enjoyed a modest improvement in the country’s economic fortunes in 2025.

This was amid falling interest rates and despite a 30% tariff on exports imposed by the United States.

Notably, while Standard Bank maintained its position as the country’s number one, Capitec was the only bank to move in the local ranking, climbing above Investec for the first time.

Capitec was also highlighted as having the largest Return on Assets in Africa at 6.4% and as the top performer among South African banks, scoring best in six of eight metrics tracked.