Standard Bank expands cashless branches as digital banking surges      

Standard Bank, Africa’s largest lender by assets, has sharply expanded its network of cashless branches in South Africa as more customers move away from over-the-counter transactions. 

The bank now operates 234 cashless branches, up from just five in 2020. The shift reflects a broader change in how customers use banking services, with digital channels and automated machines handling a growing share of routine transactions.

Standard Bank said the change has allowed it to move a significant share of cash activity to ATMs, cutting the cost of handling notes and coins. About a third of its South African network no longer processes cash at the counter. 

By directing routine transactions away from tellers, the bank has also been able to reduce the size of many branches. That, in turn, has lowered property and operating expenses while keeping its footprint intact.

Staff roles are changing alongside the new format. Employees are being trained to focus less on basic transactions and more on advisory services and complex client needs.

Bank shifts to cashless, ATM support

Finance chief Arno Daehnke first outlined the financial impact of the strategy in August 2025, pointing to clear savings in day-to-day operations. 

The numbers reflect how customers are banking. Nearly 90% of deposits are now made through channels outside branches, while 97% of withdrawals happen elsewhere, largely at ATMs. 

“Our cashless branch strategy ensures we invest where it matters most — convenience, expertise and better service closer to our customers,” said Kabelo Makeke. 

Cashless sites are supported by a network of modern ATMs that handle deposits and withdrawals. The bank said full-service branches remain in areas where demand for cash is still strong. 

“Where demand for branch cash services has fallen over time, we use the opportunity to consolidate and convert those sites to cashless, supported by ATMs,” the bank said. 

Executives stressed that cash remains an important part of the bank’s offering. The shift, they added, is also aimed at improving safety for both customers and staff by reducing the amount of cash held on site.

Banking evolves to meet community needs

The changes at Standard Bank mirror a wider shift across South Africa’s banking sector, where large, full-service branches are becoming less common and more concentrated in major retail hubs. 

Banks are reshaping these locations to focus on higher-value services, including financial advice and insurance, rather than routine transactions. 

Former First National Bank chief executive Harry Kellan said a physical presence still matters. 

“We need to serve communities where they are,” Kellan said. “That could be through an agent, an ATM or a retail kiosk. Where demand is higher and services are more complex, we will open a branch.”

At Nedbank, finance chief Mike Davis said the bank has kept its overall presence while trimming branch sizes. 

“Branches used to look the same and offer the same services,” Davis said. “That’s no longer the case.” 

Retail partnerships expand banks’ service reach

Partnerships with retailers are also helping banks extend their reach without adding costly real estate. FNB works with Pick n Pay, while Nedbank has teamed up with Boxer to offer basic services through in-store kiosks. 

“If we have a presence in a retailer like Boxer, it’s staffed by Nedbank employees but offers a simpler set of services,” Davis said. “In major centres, you’ll still find larger branches offering a full range, from lending to investment services.”

Standard Bank, founded more than 160 years ago and led by Chief Executive Sim Tshabalala, operates in more than 20 African countries and several global financial centres. The lender has in recent years increased its focus on digital services and partnerships as it adapts to changing customer behaviour.