Brief
Reserve Bank to pilot white‑label ATMs in South Africa from January
The pilot is the first step toward a unified ATM network where low‑value transactions are free, officials said at a media briefing.
By Felo News Desk · Published
The South African Reserve Bank announced on Friday that it will begin piloting white‑label ATMs in January, marking the first phase of a multi‑year plan to convert the country’s more than 30,000 machines into a shared, unbranded network. The central bank aims to establish a national cash utility by March 2027 and to bring existing cash centres, such as those run by SBV and Fidelity, under its control by mid‑2027.
"We are asking banks to white‑label all ATMs," said Pradeep Maharaj, executive director of the Reserve Bank’s Payments Ecosystem Modernisation (PEM) programme, at a media briefing. He added that the rollout will involve a "robust conversation" with banks and that the final solution will be "one that works for the country." Under the proposed model, every ATM would support deposits, withdrawals and balance enquiries, and transactions below a set threshold would be free of charge.
The Reserve Bank’s cost‑of‑cash study, which used 2024 data, shows that roughly 9,200 of the nation’s 30,600 ATMs are operated by independent deployers that do not accept cash deposits. Maharaj also criticised the "disloyalty fee" charged when a customer’s own bank’s ATM is out of order. He framed the overhaul as a remedy for unequal access, noting that Sandton City has more ATMs than the neighbouring Alexandra township.
Cash remains a dominant payment method, accounting for 56% of consumer transactions by volume, according to the same study. Arif Ismail, head of the central bank’s national payment system department, estimated that about R180 billion in cash circulates in the system and that managing it costs roughly R90 billion per year.
The briefing outlined a timeline: the Reserve Bank will respond to banks’ alternative ATM models in November 2026; a standardised QR+ payment code is due in January 2027; the white‑label pilot starts in January 2027; the national cash utility is established in March 2027; cash centres move into the Reserve Bank by mid‑2027; and the first batch of white‑label ATMs will be deployed in a phased roll‑out by the end of 2027.
Key facts
- The Reserve Bank will pilot white‑label ATMs starting in January 2027. (techcentral.co.za)
- The goal is a shared, unbranded network where low‑value transactions are free. (techcentral.co.za)
- A national cash utility is planned for March 2027, with cash centres moving under the Reserve Bank by mid‑2027. (techcentral.co.za)
- About 9,200 of South Africa's 30,600 ATMs are run by independent deployers that do not accept deposits. (techcentral.co.za)
- Cash accounts for 56% of consumer transactions by volume; managing it costs roughly R90 billion per year. (techcentral.co.za)
Timeline
- 2026-11-01 — Reserve Bank to respond to banks' alternative ATM models.
- 2027-01-01 — White‑label ATM pilot begins.
- 2027-03-01 — National cash utility established.
- 2027-07-01 — Cash centres start moving into the Reserve Bank.
- 2027-12-31 — First batch of white‑label ATMs deployed in phased roll‑out.
Sources
- [1] techcentral.co.za — originally reported as “South Africa's ATM network faces its biggest overhaul in decades”
