Could South Africa be ATM-free in a few years?

The South African

a day ago

South Africa's cash landscape is changing fast – and the humble ATM may soon be obsolete.
According to a recent assessment by MyBroadband , the country's major banks have collectively slashed over 8 000 ATMs from their networks over the last five years.
This marks a steady retreat from physical money, with consumers opting for cards over cash. ATM numbers tell a story
The Big Four – Standard Bank, Absa, FNB, and Nedbank – have all dramatically reduced their ATM footprints: Bank 2019 Latest figures Difference Absa 8 656 5 138 -3 518 FNB 5 780 4 770 -1 010 Nedbank 4 257 4 199 -58 Standard Bank 9 321 5 562 -3 759
That's a combined drop of over 8 000 ATMs since 2019. In contrast, however, Capitec is bucking the trend – having expanded its network from 5 011 in 2019 to 8 798 machines, now operating more ATMs than any other bank in South Africa.
And this isn't just a local phenomenon. As reported by BusinessTech, a Merchant Machine study shows that countries worldwide are pulling back on ATMs.
South Africa has been shedding ATMs at an average annual rate of 2.67% since 2012. At that pace, the country could have zero ATMs left in just 32 years.
Well, a few forces are converging to drive this decline. These include:
MyBroadBand reported that a joint report by Discovery Bank and Visa found that 84% of South Africans prefer digital payments or cards over cash. 67% use cash only a few times a month or not at all. Among younger consumers, 83% increased their use of digital payments in 2024 compared to 2023.
As confidence in digital channels grows, so does the pressure on cash infrastructure. Fewer withdrawals mean less demand for ATMs.
The drop in ATM usage is more noticeable among higher-income individuals, the very market that Standard Bank, FNB, Absa, and Nedbank largely serve. As this demographic leans heavily into digital, banks are adapting accordingly.
Standard Bank's Kabelo Makeke also explained that the bank has rolled out new-generation ATMs which offer faster service and more features, such as real-time validation, cash recycling, and bulk cash handling. These machines do more with less, allowing banks to reduce total units without hurting service.
'We renewed our ATM network by introducing new technology devices with significantly improved transaction speed and overall quality of service,' Makeke said, as per MyBroadBand .
And while they won't vanish overnight, the direction is clear: fewer ATMs, more digital banking. Unless something reverses the current trend, South Africa's ATM-free future may not be a question of if , but when .
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