Latest news with #Absa
Zawya
6 hours ago
- Automotive
- Zawya
New Absa–BYD partnership targets EV finance growth in South Africa
Absa and Chinese electric vehicle manufacturer BYD have signed a partnership agreement to expand green vehicle finance solutions in South Africa, targeting both retail customers and motor dealers. The move follows increased demand for new energy vehicles (NEVs) amid rising sustainability concerns. The deal was formalised at BYD's offices in Sandton, where representatives from both organisations outlined plans to establish a full-scale green vehicle finance ecosystem. Full-service financing for EV rollout Under the agreement, Absa will offer a suite of banking and financial services to BYD dealers and customers, including OEM and dealer wholesale finance, vehicle finance, insurance, and related value-added services. Absa currently works with 15 dealerships that stock BYD vehicles across South Africa. Charl Potgieter, managing executive for Absa Vehicle and Asset Finance, said the partnership aligns with the bank's goal of reaching carbon neutrality by 2050 and will help grow its sustainable finance portfolio. 'We recognise the growing demand for energy-efficient mobility solutions,' Potgieter said. Market growth and affordability still a challenge According to Naamsa, NEV sales in South Africa doubled in 2024 year on year, with further growth recorded in the first quarter of 2025. However, affordability and infrastructure remain obstacles to mass adoption. Absa's NEV finance portfolio, comprising both hybrid and electric vehicles, has seen growth off a low base in recent years, reflecting a gradual shift in consumer sentiment. BYD targets wider reach and lower entry point BYD, which sold over 4.2 million NEVs globally in 2024, offers vehicles at lower price points than many competitors. Its models include features such as vehicle-to-load functionality, which allows owners to power household devices from their cars. Steve Chang, general manager of BYD South Africa, said the partnership was based on three core values: affordability, accessibility and sustainability. 'We're introducing models at more competitive prices, expanding through Absa's network, and aiming to reduce emissions with every sale,' he said. Part of broader green strategy Absa said the partnership complements its broader green finance strategy, which includes backing Africa's largest standalone battery facility. The bank recently met its R100bn sustainable finance target a year ahead of schedule and aims to continue scaling up support for low-carbon initiatives.
IOL News
a day ago
- Business
- IOL News
African blockchain ventures outperform broader African VC landscape
Rob Downes, the head of Digital Assets, Absa CIB. Image: Supplied African blockchain ventures outperformed the broader African venture capital (VC) landscape, according to the 2024 African Blockchain Report, published in association with Absa, released on Wednesday. Despite capital headwinds, blockchain maintained or gained share in Africa's venture market. Year on year, blockchain-focused VC funding and deal volume in Africa outpaced all-sector venture capital on the continent, while higher median deal sizes underscored concentrated investor confidence in well-positioned early-stage blockchain ventures. African blockchain ventures outperformed the broader African VC landscape. The sector captured 7.4% of VC capital and 12.7% of deals, up from 7.0% and 7.3%, respectively, in 2023. However, while global VC funding rebounded modestly, Africa's share continued to contract. Global annual venture funding totaled $378.8 billion (R6.7 trillion) across 23 538 deals in 2024. This reflected a 7% funding increase and 12% fewer deals than the preceding year, while Africa secured $1.6bn across 236 deals in 2024, marking a year on year decline of 39% from $2.7bn. The median blockchain deal size reached $2.8 million, double the all-sector African median of $1.4m, reflecting investor willingness to make high-conviction bets even amid risk-off conditions. However, the average deal size fell sharply to $4.1m, a 44% year on year drop, indicating reduced appetite for larger ticket investments. The report said investors showed increasing preference for solutions that integrate with regulated financial systems, support cross-border use cases, or address infrastructure gaps in data verification and compliance. Sectorally, capital flowed toward pragmatic, utility-driven categories such as crypto-fiat financial services, decentralized finance, and blockchain-powered data infrastructure. Protocol-level investments, which dominated in previous cycles, largely paused in 2024, suggesting a shift from infrastructure buildout to application-layer deployment. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ "Africa's macroeconomic fundamentals reinforce blockchain's strategic relevance. In 2025, Africa hosts at least nine of the world's 20 fastest-growing economies. Yet it continues to attract less than 1% of global venture and private equity capital, revealing a persistent allocation gap. As blockchain offers a modular and interoperable foundation for addressing structural gaps in finance, identity, and data integrity, its relevance to Africa's broader technological development is paramount," the report said. Jarryd Kennedy, the head of Investments, CV VC Africa, and Brenton Naicker, principal and head of Growth, CV VC Africa, said globally in 2024, blockchain funding represented 3.2% of all global VC funding, up from 3.0% in 2023. It reached $12.1 billion across 1 309 deals, a 14% year-on-year increase in funding and 6% more deals. North America led with 50% of all funding, followed by Europe and Asia. "This paradox of declining funding amounts but increasing deal flow reflects the deep value opportunities available in the early stage African ecosystem. Venture capital globally remains cautious amid geopolitical uncertainty, but blockchain is claiming a larger share of investment in Africa," they said. "While the combination of blockchain as an emerging technology and Africa an emerging market may appear risky, we view this as an opportunity. The technology is uniquely suited to solving niche African problems and African founders are showing the world how blockchain addresses real challenges like data sovereignty, efficient remittances, provable identity, inaccessible credit and verifiable land ownership. As more success stories surface, investor confidence continues to rise. Crucially, regulatory clarity is a key driver of venture capital investment," they said. Rob Downes, the head of Digital Assets, Absa CIB, said, "Blockchain specific investment activity has shown resilience, and the data indicates investor appetite in digital infrastructure solutions is growing. International and local investors are noticing the African entrepreneurial spirit, investing in markets where talent and skills in tech sectors are growing. This means even greater opportunities to leverage the technology to help build stronger, more sustainable African economies." He said blockchain was transforming financial market infrastructure. "It isn't just products and services that will be enhanced with blockchain technology, new financial market infrastructures will evolve – and have already. Blockchain's decentralised nature and immutable records enhance the security and efficiency of financial transactions, with enhanced trust and shared data through cryptographically signing and programmable smart contracts. This means intermediaries which currently provide services across the financial ecosystem may no longer be necessary, which could help reduce costs and speed up services," Downes said. BUSINESS REPORT
IOL News
a day ago
- Business
- IOL News
SA residential property market maintains positive momentum in the second quarter
This marked the strongest consecutive three-quarter performance since the Index was launched in 2015, underscoring sustained consumer confidence in property as a long-term investment asset. South Africa's residential property market sentiment remained elevated in the second quarter of this year, with Absa's latest Homeowners Sentiment Index (HSI) recording an 84% positive response. 'Property investment is largely driven by the common goal of owning a stable, high-return asset, along with the growing awareness of the benefits of earning additional or passive income,' said Nondumiso Ncapai, Absa Home Loans managing executive. 'With many South Africans optimistic about economic recovery, there is increasing recognition of property's potential to generate value now and build wealth for future generations,' Ncapai said. The positive outlook for property as an investment is said to be underpinned by several key perceptions among South African consumers. Over half (53%) believe that property consistently gains value over time, while 52% see it as offering good returns. Nearly half (48%) view it as a reliable source of passive income, and 47% cite strong demand for rental properties as a motivating factor. Looking ahead, 42% anticipate continued growth in demand, reinforcing confidence in the property's long-term investment potential. At the same time, investors remain cautious about several risks, chief among these being the broader economic climate, with 51% citing poor economic performance as a key deterrent. Other concerns include the weak rand (33%), high property prices (36%), and affordability challenges among tenants, particularly in the context of job insecurity and unemployment, with 29% worried that tenants may be unable to pay rent and 27% highlighting broader concerns about labour market stability. In Tuesday's Nedbank Daily Market Snapshot, Nedbank CIB research analyst Reezwana Sumad said Monday was a good day for the US Dollar as the US and European Union (EU) reached a trade agreement. 'The USD had its best day since May, with the EUR losing around 180 pips, moving down from a high of 1,1770 to close in New York around 1,1590. The GBP fared a bit better, only losing around 90 pips on the day, drifting lower from around 1,3450 to close in New York around 1,3355,' Sumad said. She said the rand also fell victim to the USD strength, as the local markets started the day around R17,75, moving higher towards 17,87. She said much of the local day was spent trading between R17,83 and R17,88, New York saw another move higher towards R17,91, but towards the close, the rand drifted aback towards R17,8700. This morning, at the time of writing, the rand is back to trading at around R17,90, the EUR 1,1585 and the GBP 1,3350.
IOL News
2 days ago
- Business
- IOL News
Bankable new hires: How AI is reshaping banking talent
The proliferation of AI in the workforce not only demands embedding AI fluency early, but also, a more strategic approach to developing young talent, says the author. Image: AI Lab Artificial Intelligence (AI) is disrupting every phase of the banking value chain – including, critically, the recruitment of a workforce equipped to navigate its breakneck pace of change while sustaining both current and future business resilience. We're witnessing a paradox in recruitment. While companies rely on AI to filter applications, candidates are also turning to AI to refine and enhance theirs. From autogenerated responses to simulated interviews, technology is influencing both sides of the process. In a country where youth unemployment stands at 45.5% among individuals aged 15-34 years, the proliferation of AI in the workforce not only demands embedding AI fluency early, but also, a more strategic approach to developing young talent. Rethinking Graduate Roles Absa's graduate programme within Corporate and Investment Banking (CIB) reflects this mindset. It's an 18-month rotation through various desks, including research and technical teams, and now includes exposure to AI, which is a growing exploratory area. Our Gen A Grad Programme blends theory, business skills, technical knowledge, soft skills, and on-the-job learning. Two years ago, the bank partnered with a corporate executive training firm to enhance the programme's relevance and introduce an AI component. Today, our graduates work on practical, real-world case studies in GenAI, AI, and data — and the feedback from receiving teams suggests we are on the right track. Receiving teams have praised the diverse and forward-thinking skillsets that these graduates bring. The programme has trained many graduates, equipping them with the tools to lead confidently in a technology-driven financial landscape. Where early-career professionals once gained experience by handling routine administrative tasks, AI now takes care of many of these responsibilities, from notetaking to task-tracking. This creates space for young hires to contribute more strategically from the outset. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ However, it also raises the bar: employers must ensure that graduates are equipped not only with technical know-how but with a critical understanding of how to use these tools effectively, ethically, and responsibly. At the same time, digital inequity presents a real challenge. Not all graduates have access to advanced AI tools, reliable internet, or exposure to the systems they'll be expected to use in the workplace. Left unaddressed, this divide creates a two-speed workforce. Graduate programmes must account for this gap and provide equal opportunities for all entrants to thrive. Authenticity and Ethics in an AI-Driven Talent Landscape As we accelerate digitisation, we must remain committed to human-centred hiring. Applicants want to be seen for who they are, not simply how well they navigate an algorithm. Similarly, employers want to attract real talent, not just those who know how to game AI-powered systems. That's why it's critical to establish clear standards around the ethical use of AI in recruitment. Creating a culture of ethical AI use starts early. This goes beyond compliance; it's about shaping habits and values from the outset. Young professionals should be encouraged to question the tools they use, understand AI's limitations, and be confident in their own voice. On the employer side, transparency and consistency are vital, along with providing support for responsible AI engagement across all levels of experience. Technical expertise – like coding in Python or Java – is still important. But so are softer skills like adaptability, digital storytelling and data ethics. Future-ready professionals will be those who combine technical fluency with a clear sense of accountability and social impact. Build with People, Not Just Technology The future of banking isn't just digital. It is also human. To navigate AI disruption effectively, banks must prioritise people-first transformation. That means building graduate programmes that mirror the pace of change to fully meet the moment. It also means crafting upskilling strategies that blend theory with application, and most of all, creating environments where innovation thrives. We don't yet know exactly what the AI-era bank will look like in 10 years. But we do know it will be built by people who understand technology, adapt with agility, and bring purpose-driven thinking to the table. Marsha De Wet is the Global Markets Chief Operating Officer at Absa CIB. Image: Supplied Marsha De Wet is the Global Markets Chief Operating Officer at Absa CIB *** The views expressed here do not necessarily represent those of Independent Media or IOL BUSINESS REPORT
News24
4 days ago
- Business
- News24
Transformation ‘a journey': Absa says it's making strides, but work remains
Absa's head office in Sandton. Supplied/Absa Be among those who shape the future with knowledge. Uncover exclusive stories that captivate your mind and heart with our FREE 14-day subscription trial. Dive into a world of inspiration, learning, and empowerment. You can only trial once.
