Wolmaransstad Link: Capitec has it's credit sales increased across the country

Wolmaransstad - Capitec has significantly increased its credit sales in South Africa

Following two financial years in which Capitec cut its credit sales to customers, Capitec significantly increased its credit offerings to customers in the 2025 Financial year.

In the 2023 financial year from March 2022 to February 2023, the group opened its credit offerings to clients, taking a ‘brave’ stance following the Covid-19 pandemic.

However, the bank’s CEO, Gerrie Fourie, admitted that the group landed in a mess due to the global crisis caused by Russia’s 2022 invasion of Ukraine.

This resulted in higher inflation and, in turn, 15-year high interest rates.

The group then cut back on lending in the 2024 financial year, with credit sales levels dropping year over year.

In its most recent financial year, the picture slowly started to shift.

In the first half of the year, Capitec’s credit sales growth remained below the FY2023 figures.

However, in the second half of the financial year, the group opened up the credit taps to customers again, pushing sales up 23%, reaching a peak of R5.4 billion in December.

Not only were credit sales higher, but so were credit applications, which increased by 33%.

Fourie noted that the bank’s upgrade to Amazon Web Services improved the group’s credit offerings by increasing the speed and efficiency of credit services.

He added that annuity disbursements drove 54% of the loan sales, which refers to credit facilities where customers pay off their credit and instantly receive access to more, such as a credit card.

Credit card limit sales increased by 48% from R3.5 billion in the 2024 financial year to R5.1 billion. Credit card disbursements rose by 25% from R17.3 billion to R21.6 billion.