The account was conceived out of the requirements set out in the Financial Services Charter (FSC)and is supported by ABSA, First National Bank, Nedbank, Standard Bank and the PostBank.
By the end of the first week in February 2005, more than half a million Mzansi Accounts had been opened. Aggregated data from participating banks show that in excess of 6 000 accounts are opened across the country each day. In line with the goals of the FSC, 90% of the Mzansi Accounts opened are held by previously unbanked clients with their chosen Mzansi banking institution.
"It is extremely encouraging to see that our target market is being reached. More particularly, we are thrilled to see the uptake amongst women is high - 56% of Mzansi Account holders are female. Empowerment is a national priority, and the financial access being provided to South Africa women, contributes to direct empowerment of the most maginalised sector of our country." comments Colin Donian, Banking Council Director, Mzansi Initiative.
The majority of account holders (62.5%) are between 25 and 54 years, 27.1% are between 16 and 24, 8.3% are 55 and above and 2.1% are below 16 years old.
The racial breakdown shows that account holders reflect the country's population demographics, with the largest uptake coming from black communities. Unsurprisingly, the largest number of accounts are held in Gauteng and KwaZulu-Natal, with Mpumalanga and the Western Cape also enjoying good support.
The Mzansi Account was designed to provide affordable and accessible banking to entry-level clients, and it would appear, thus far, that the Account is being used as it was conceived.
An average of R 290 is currently being held in each Mzansi Account, amounting to a total balance of R160 million brought into the formal banking sector. 65% of the accounts have been used in the last 30 days and 92.7% of the accounts have a positive balance.
"While three and a half months is too short a time-frame to build a long-term profile of account usage, the signs thus far are certainly encouraging," says Donian.
The growth of new entries to the market, was one of the original concerns for the banking institutions during the planning phase. However, looking at the bank's data, growth of new entry-level products over the lifespan of the Mzansi Account has been a very healthy 6.8% year-on-year. "I believe it fair to say that these figures point to an increasing acceptance of formal banking by new entrants and we expect to see this continue," Donian states.
Donian concludes that the banks and the Postbank are elated by the market's response to the Mzansi Brand and Account and believes that early expectations have been met and exceeded.
| ABSA | FNB | Nedbank | Standard Bank | PostBank | Total | |
| Mzansi Accounts Opened | 133,193 | 90,313 | 37,521 | 144,344 | 152,068 | 557,439 |
| % | 23.9% | 16.2% | 6.7% | 25.9% | 27.3% | 100.0% |
| Below 16 | 16 - 2425 - 5455 and||||
| Number of Mzansi Account Holders | 11,916 | 150,490 | 348,372 | 46,662 |
| % | 2.1% | 27.1% | 62.5% | 8.3% |
| Male | Female | |
| Number of Mzansi Account Holders | 246,852 | 310,587 |
| % | 44.3% | 55.7% |
| Black | Coloured | Asian | White | |
| % of Mzansi Account Holders | 90.1% | 3.8% | 2.1% | 4.0% |
| EC | FS | GP | KZN | LP | MP | NW | NC | WC | |
| Number of Mzansi Account Holders | 49,200 | 44,954 | 145,998 | 125,562 | 34,023 | 68,599 | 20,436 | 13,691 | 54,977 |
| % | 8.9% | 8.0% | 26.3% | 22.4% | 6.2% | 12.2% | 3.7% | 2.4% | 9.9% |
| Previously banked at institution | New client to institution | |
| Number of Mzansi Account Holders | 53,970 | 503,469 |
| % | 9.8% | 90.2% |
| Average balance per account | R 289.87 |
| Total balances held in Mzansi Accounts | R 161,585,034 |
| Unused accounts (last 30 days) | 34.5%* |
| Nil balances | 7.2% |
*Excludes Standard Bank
| Withdrawals | 42.3% |
| Deposits | 55.1% |
| Balance Enquiries | 16.3% |
| POS Transactions | 2.0% |
| High Transactions | 5.0% |
6.8% increase
