Sanlam Enters Banking with Tyme Bank

The Banking Brief
Read Time: 6 minutes

Golden Nuggets

• Sanlam is set to launch banking services partnership in South Africa by mid-2026, leveraging its partnership with TymeBank, a digital lender backed by billionaire Patrice Motsepe.

• Luno Expands Tokenised US Stock Access in Nigeria

• New Leadership appointments at Standard Bank SA with David Hodnett

Main Stories

Sanlam Enters South African Banking Market

Catch Up: Sanlam, Africa's largest insurer operating in 31 countries, announced plans to enter the South African banking sector by mid-2026 through a financial partnership with TymeBank. This will create a joint venture focused on unsecured personal loans accompanied by credit life insurance: a product that covers loan repayments in the event of the borrower's death or disability.

Why It Matters: Sanlam’s vast client base and its strong insurance presence give it a unique advantage to cross-sell banking products. Entering banking marks a strategic move to diversify revenue amid growing competition, especially after Old Mutual launched its own digital bank in 2025. This expansion targets a dynamic credit market where personal loans are in demand.

Zoom In: TymeBank, a pioneer in digital banking in South Africa, will acquire 50% of Sanlam’s retail credit loan book, pooling resources and expertise.
Sanlam’s banking venture will leverage its insurance claims data for tailored credit risk assessment, enhancing product precision.

Luno Expands Tokenised US Stock Access in Nigeria

Why it matters: Tokenised stocks provide a novel way for Nigerians to access global equity markets with small capital and flexible trading hours. This could democratise wealth creation and build a digital investment ecosystem ahead of traditional brokers.

Hang On, Tokenised Shares…?: These are digital tokens created on a blockchain (a secure digital ledger). Each token represents a real share or fraction of a share in a company, like Apple or Microsoft. Imagine them as digital twins of traditional stocks. Their prices move in sync with the real stocks, but you can trade them 24/7, even outside typical stock market hours.

Who’s Involved: Luno partners with Kraken's xStocks, Kraken is one of the largest crypto exchanges (. Think Coinbase or Binance). Together with Backed Finance they will offer 60 tokenised US stocks and ETFs with instant settlement and the option to transfer tokens to private wallets (digital apps like Metamask where you control your own tokens securely, rather than leaving them with a broker or exchange). Despite risks like lack of shareholder rights and regulatory hurdles, Luno’s compliance efforts and user-friendly fees set it apart.

What to watch: Keep an eye on regulatory developments and adoption rates as Nigeria's tokenised fintech space evolves. Though there’s risk involves, tokenised assets may become a cornerstone of wealthtech in Africa.

New Leadership at Standard Bank SA

Why it matters: David Hodnett’s elevation as CEO signals continuity and strengthened operational focus within one of Africa’s top financial institutions, impacting regional banking stability and market confidence. And Thabani Ndwandwe will take over from Hodnett as Group Chief Risk Officer.

Background: Hodnett’s deep experience in risk management aligns with Standard Bank’s strategic priorities on governance and growth during challenging economic conditions.
Be smart: Leadership choices like this could influence partnerships, digital transformations, and risk appetite across African banking. This is also a show of strength to shareholders in terms of questions around Standard Bank’s succession pipeline.

The Scoop

• Wise explores acquiring a UK banking licence as it looks to expand financial offerings beyond international money transfers.

• South Africa’s Spar sells its Swiss unit for $59 million to focus on its domestic market, bolstering capital and simplifying its international footprint.

• Clientèle targets social grant recipients and state employees with tailored insurance and financial products, a strategic move to serve underserved demographics.

• Twofold Capital leads buyout of tax tech pioneer the beloved tax helper TaxTim, signaling growing investor interest in digital tax compliance tech in South Africa. Let’s see how they expand Tax Tim’s ecosystem.

• Swedish BNPL (Buy Now Pay Later) Giant Klarna is all set to IPO having raised $15 Billion at $40/share.

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On This Day

1998, PayPal Gains Traction: September 10 can serve as a marker in the late 1990s when PayPal emerged as a pioneer of digital payments. Founded in 1998 by Peter Thiel and Max Levchin, and later merged with Elon Musk’s payment gateway x.com (not Twitter), PayPal capitalised on online commerce growth to spearhead cashless payment systems, shaping the foundation for today’s vast fintech payments ecosystem.