FNB sees spike in fintech product use

Admire Moyo
By Admire Moyo, ITWeb's news editor.
Johannesburg, 14 Sept 2023
FNB’s suite of fintech innovations is gaining popularity, says the bank.
FNB’s suite of fintech innovations is gaining popularity, says the bank.

Big-four bank FNB’s fintech strategy is paying dividends, with the financial institution seeing more of its customers making use of the products.

This was disclosed in FNB’s financial results for the year ending 30 June.

During the period, active customers increased by 5% to 11.49 million, while profit before tax increased by 10% to R31.4 billion.

The bank notes that overall transaction volumes increased by 12% to 3.6 billion, wealth and investment total assets increased by 12% to R320 billion, digitally-active customers increased by 6% to 6.89 million and digital logins totalled 1.7 billion.

According to the bank, FNB’s suite of fintech innovations is gaining popularity. It says the FNB app’s nav»Home feature app originates 24% of home loans paid out to customers, and accounts for more than R52 billion in payouts since inception.

In collaboration with WesBank, it adds, the nav»Car feature facilitated nearly R600 million in vehicle finance.

Through the FNB app’s nav»Care feature, customers and employees have donated R4.4 million to early childhood development centres, old-age homes, climate change, animal welfare and housing initiatives, it notes.

Furthermore, FNB says customers are rapidly embracing safer payment methods, with over R27 billion in payments made using 4.6 million virtual cards.

E-commerce activity is increasing, with the FNB app processing R18 billion in sales of third-party digital vouchers, prepaid airtime and electricity, the bank reveals.

FNB CEO Jacques Celliers says: “We are pleased with our full-year performance, as it demonstrates our ability to continue supporting our individuals, families and business customers despite economic uncertainty.

“Among the many highlights are our efforts to alleviate the pressure of energy constraints on customers. We provided more than R600 million in alternative energy funding for commercial customers in partnership with WesBank and paid-out over R1 billion through the National Treasury-backed Bounce Back Loan scheme.

“We’re also delighted to see more customers endorsing our advice-led approach to providing solutions that are helpful and easily accessible through a safer digital platform. Our FNB app is the most popular digital channel for customers, accounting for 1.2 billion of the 1.7 billion total user logins,” says Celliers.