Two top banks closing branches across South Africa

Two of South Africa’s top traditional banks, Absa and Standard Bank, have significantly reduced the number of branches and automated teller machines (ATMs) they operate in the country.

However, Absa says it has big plans to expand traditional banking access to more unbanked South Africans, while continuing to enhance its digital service offerings.

MyBroadband asked Absa and Standard Bank for the latest stats on their branch and ATM numbers.

Standard Bank’s latest results, for the year ended 31 December 2024, show that it had 5,562 ATMs and it told MyBroadband that it currently has 629 branches operating in the country.

It shuttered 3,759 ATMs between 31 December 2019 and 31 December 2024.

According to Kabelo Makeke, Standard Bank South Africa’s personal and private banking head, the bank maintains a strategically distributed brand and operational network across Africa.

“The bank is optimising its physical footprint while investing in digital infrastructure to enhance accessibility and efficiency,” said Makeke.

“It continues to rationalise underperforming branches while expanding in high-growth regions and sectors.”

Absa managing director for integrated channels, Tshiwela Mhlantla, says the bank currently has 558 branches in operation in South Africa — a loss of 74 branches since December 2019.

It also currently operates 5,154 ATMs nationwide, down from 8,656 at the end of 2019.

However, Mhlantla told MyBroadband that Absa plans to improve its reach to offer non-banked South Africans its services. Its multi-pronged strategy includes the following:

• Expanding branch coverage in remaining non-banked and lower-income areas by approximately 5% over three years;
• Developing and rolling out emerging channels on various devices and supporting various technologies to expand footprint coverage by 10-15% over three years;
• Leveraging mobile and remote sales teams to cover areas that don’t support conventional infrastructure; and,
• Leveraging digital technologies to add new capabilities to the Absa Banking App and embedded capabilities within other popular platforms.

Mhlantla says the bank is working to enhance its technologies while maintaining in-person services for those who need them.

“Our goal is to enable a complementary channel model that caters to diverse needs, ensuring that while we innovate digitally, we also maintain essential services for those who rely on traditional banking methods,” she said.

“Further inclusion remains a cornerstone of our strategy, combining education, affordability, and accessibility to bridge the digital divide.”

The table below shows changes in the number of ATMs and branches managed by Absa and Standard Bank, from 2019 to the latest available data:

Absa’s multi-pronged strategy

Absa’s approach includes several key considerations.

It wants to broaden access to cash withdrawal points due to the continued reliance on cash in some segments of the South African economy.

“We have augmented our remaining traditional cash infrastructure with alternative cash access points,” said Mhlantla.

These include partnerships with national retail chains such as Pick n Pay and Boxer stores, as well as Absa’s CashSend solutions.

“Absa’s first-to-market CashSend solution enables customers to send and receive money securely via a cellphone without a card,” said Mhlantla.

Many South Africans are so reliant on cash that almost half of the country’s adults withdraw all their money from their bank accounts as soon as it is deposited.

This is due to several factors, including a lack of trust in banks, fees associated with card transactions, and merchants’ lack of acceptance of cards in the informal economy.

To help address this, Absa has also introduced ChatWallet, which lets customers manage their funds securely without having to withdraw the full amount all at once.

“These partnerships and innovative digital solutions enable customers to access cash and manage their money conveniently and securely across various channels,” said Mhlantla.

She added that the strategy has been effective, with Absa realising an above-average year-on-year reduction in ATM and related complaints.

A key part of Absa’s strategy is blending human expertise with digital technologies to improve customer experience and accessibility.

To achieve this, Mhlantla says it is:

• Driving a complementary channel strategy to ensure presence in underserved communities;
• Using branch staff to support customers in gaining confidence in using self-service channels and digital services safely;
• Offering more language options for people using its ATMs and simplifying their interfaces; and,
• Offering digital solutions like UIF forms on ATMs.

Absa has also partnered with organisations like the Deaf and Blind Association to ensure access for all customers.

It has also launched the Absa Credit Coach, a digital tool that educates users about credit health and financial management, and the Savings Coach to support customers and promote a savings culture.

Both tools are available on the Absa Banking App.