South Africa insurer readies digital bank – Semafor

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Old Mutual, South Africa’s second largest life insurer, is going through the final regulatory steps to launch its digital-first bank in March.
The company has spent around $200 million building the infrastructure to launch OM Bank, CEO Iain Williamson told Semafor, after what he described as a delayed regulatory process.
The new brand will enter a South African banking market where around 85% of customers already have accounts, including with other digital-first rivals such as TymeBank and Discovery Bank.
“We think we’re going to have a competitive advantage,” Williamson said on the sidelines of the World Economic Forum, flagging that his 180-year old company has offered customers a mix of non-insurance financial services for several years. While in Davos, he planned to meet with the CEO of Brazil’s Nubank to learn more about their experience of running one of the largest digital-first banks in the world.