Johannesburg – JSE-listed insurance giant Sanlam is set to diversify into banking services in 2027, positioning itself to compete with rival Old Mutual, which recently launched OM Bank.
The company announced that its Retail Mass business operationalised 156 retail branches in South Africa during the first six months of the year and remains on track to reach 200 branches by year-end.
Sanlam Establishes Retail Credit Joint Venture with GoTyme
In its Credit, Banking and Rewards division, Sanlam established a retail credit joint venture with GoTyme in June 2026, leveraging digital infrastructure and expertise to build a scalable lending business and unlock cross-sell opportunities.
“Preparations for the banking partnership with GoTyme are progressing,” Sanlam disclosed in financial results published today.
“The group has recently received regulatory approval to provide transactional banking services through GoTyme.
“Following a few key deliverables, including Apple Pay functionality and a phased rollout, the group intends to gradually introduce these services during the first quarter of 2027.”
Regulatory Approval Paves Way for Banking Services
The company confirmed that regulatory approval clears the path to bring transactional banking services into the Sanlam ecosystem.
Sanlam will conduct a soft launch from 1 November, followed by a phased targeted rollout to staff, intermediaries and clients before entering the open market.
‘Winning-as-One Sanlam’ Strategy Drives Growth
South Africa remains a core market for Sanlam, and the group is investing in several initiatives to drive future growth and unlock new revenue streams.
“These include physical branch infrastructure, digital platforms and reward programmes to gradually introduce sound credit products and client-orientated transactional banking services,” said the insurer.
“These initiatives are expected to broaden Sanlam’s client proposition in South Africa, deepen client relationships and create future earnings opportunities.”
Competitive Landscape Intensifies
Sanlam, valued at R175 billion on the JSE, will compete with OM Bank, Pep Bank, Capitec, FNB, Absa, Nedbank, Standard Bank, and other digital banks and fintechs in South Africa’s increasingly crowded banking sector.
The insurer’s entry into transactional banking marks a significant strategic shift as traditional financial services companies increasingly blur the lines between insurance, banking and digital financial services.
*This article first appeared in our sister publication techfinancials.co.za
Also read: Old Mutual Group To Inject R2 Billion Into OM Bank As Digital-First Banking Venture Gains Traction
