Banking

End of an era for 75-year-old banking giant in South Africa

Staff Writer

 ·17 Jul 2026

The South African Reserve Bank (SARB) has officially cancelled Sasfin’s banking licence, bringing the group’s banking operations to a final close.

The SARB gave notice of the cancellation, effective from 30 June 2026.

The registration of Sasfin Bank was cancelled, with the registration of the Sasfin Group simultaneously cancelled in terms of section 48 of the Banks Act.

The cancellation follows a two-year shutdown of the bank as the broader Sasfin Group faced a series of challenges.

This included allegations of money laundering and illicit financial flows in its banking business.

The banking business was also hit with a R210 million fine by the Prudential Authority for historical non-compliance in Sasfin Bank’s discontinued foreign exchange business.

Sasfin is also embroiled in a legal battle with the South African Revenue Service (SARS) for around R5 billion, with the taxman claiming that Sasfin owes money for Sasfin’s customers who evaded tax.

Sasfin was founded in 1951 as a textile importer and shifted to the financial sector in the 1970s. It attained its banking licence in 1999.

In 2024, the group announced it would exit its banking business and focus on its asset management and rental finance operations.

Customers had until 2 March 2026 to withdraw all funds from their accounts. If the funds were not moved, Sasfin nominated another bank to transfer them.

The group had already sold its Capital Equipment Finance and Commercial Property Finance loan books to African Bank in a deal worth over R3 billion a year prior.

In addition to exiting banking, Sasfin delisted from the JSE at the end of 2024 to reduce regulatory costs and focus on its core businesses. It was listed on the JSE in 1987.

The final step of the banking exit was relinquishing its banking licence, which has now been completed.

It has shifted its focus to being an investment-holding company, with its Wealth subsidiary in focus. In March 2026, it rebranded this subsidiary from Sasfin Wealth to Otto1890.