Old Mutual Strengthens Offerings Across Africa
A: A significant milestone for us this year was achieving Section 17 approval in April 2024, marking a key step in launching OM Bank. We successfully completed industry testing, integrating the bank into the National Payment System, which included a groundbreaking simultaneous testing process with four payment clearing housesan industry first. With these technical capabilities validated, we are now focused on fulfilling the remaining regulatory conditions and establishing governance structures to prepare for the banks formal launch by the end of 2025. This bank build is a cornerstone of our integrated financial services strategy, enabling us to better serve our customers across a broad range of financial needs.
Q: What are some of the challenges and headwinds you havehad to overcome?A: One of our biggest challenges has been the delay in securing regulatory approval, which has extended the timeline for launching the bank.Despite this, we remain focused on meeting the remaining requirements and are making steady progress toward public launch by the end of 2025.
Q: The asset management business is interesting, and you are managing climate-related funds on the continent as well as working with multilateral institutionsto manage their funds. How is the asset managementbusiness performing and how do you see it changing over the next few years?A: The asset management industry is closely linked to global investment markets, which have shown steady recovery over the past 12 to 18 months as central banks eased interest rates in response to declining inflation, particularly in developed markets.
As one of Africas largest asset managers, Old Mutual remains dedicated to driving sustainable outcomes through its investment mandates. Our commitment is underscored by our role as signatories to the Net Zero Asset Managers Initiative and the Net Zero Asset Owners Alliance. Given South Africas carbon-intensive listed market, supporting a just transition to decarbonising the economy is central to our responsible investment strategy.
Q: You have a special interest in tech and innovation. How do you see developmentstransforming your industry, and in which areas do you see it having the biggest impact?A: Financial services companies need to be vigilant about the future, but also embrace new technologies and put them to the test. Now is the time to think big, implementing the changes that will have the most impact, benefitting the greatest number of stakeholders. While the scope of innovation can feel overwhelming, this is an exciting time to lead change, particularly within Africa, the worlds largest trading bloc.