Effective September 4, 2024, Standard Bank customers in South Africa will be barred from making EFTs to Namibia, eSwatini, and Lesotho. Personal banking clients can still process payments via Forex branches, while business clients must submit a Balance of Payments form to the bank.
The South African Reserve Bank has announced that, commencing September 4, 2024, customers of Standard Bank in South Africa will be prohibited from executing Electronic Fund Transfers (EFT) to Namibia, eSwatini, and Lesotho. This decision arises from newly established regulatory requirements. However, personal banking clients can continue to make cross-border payments to these nations by visiting Forex branches directly, where they must approach the Foreign Exchange Teller or Desk to facilitate their transactions. In contrast, business customers will need to adhere to a different protocol; they will be required to complete a Balance of Payments (BOP) form and submit a formal payment request to Standard Bank to enable transactions to the aforementioned countries.
The South African Reserve Bank plays a significant role in governing the financial regulations within the region, particularly concerning cross-border transactions. The decision to halt EFTs aims to enhance regulatory compliance and ensure the integrity of the financial system. The Common Monetary Area (CMA), which includes Namibia, eSwatini, and Lesotho, has previously facilitated seamless transactions, but regulatory changes now require alternate methods for processing payments.
In summary, starting September 4, 2024, Standard Bank customers in South Africa will no longer be able to utilize Electronic Fund Transfers for transactions to Namibia, eSwatini, and Lesotho due to new regulatory measures by the South African Reserve Bank. While personal banking clients may still conduct payments via Forex services, business clients must complete specific forms to process their transactions. This change emphasizes the need for customers to adapt to new banking practices in light of evolving regulations.
Original Source: techafricanews.com
