Catenaa, Thursday, June 12, 2025-Global banking giant HSBC will fully exit South Africa by October 31, 2025, transferring all clients, assets, liabilities and employees to FirstRand’s Rand Merchant Bank, following regulatory approval confirmed this week.1
The transfer affects HSBC South Africa’s portfolio of multinational subsidiaries and large domestic corporations. FirstRand said the move aligns with its strategy to grow its corporate banking footprint and expand its services to international firms operating in the region.
HSBC’s clients will continue to have access to account visibility and transaction services through the bank’s global digital platforms even after the transition to RMB is complete.
The bank, which entered the South African market in 1995, announced its withdrawal in September 2024 as part of a broader retreat from select African markets.
RMB CEO Emrie Brown said the deal complements FirstRand’s growth objectives and enhances its standing in the multinational banking segment.
FirstRand plans to allocate sufficient capital to support the risk-weighted assets acquired, expecting the impact on its core equity tier ratio to be no more than 20 basis points.
HSBC’s departure follows similar moves by global lenders.
BNP Paribas closed its South African investment banking unit in 2024, while Barclays, Standard Chartered and Societe Generale have also scaled back operations across Africa.
Local banks are restructuring as well.
Sasfin Bank is shutting its business division, while Bidvest Bank is being acquired by Nigeria’s Access Bank. Meanwhile, new players such as Old Mutual’s OM Bank are preparing to launch, signaling continued evolution in the South African banking landscape.
- https://businesstech.co.za/news/banking/827607/major-international-bank-seals-exit-from-south-africa/[↩]
