TymeBank becomes Africa’s first digital bank to reach profitability

TymeBank has announced that it reached its first month of profitability in December 2023, less than five years since launching in February 2019. This makes it the first digital bank to break even in South Africa and on the continent.

“We are extremely proud of our achievement, particularly when you consider that globally, less than half of the top 100 digital banks are profitable. In fact, a recent study stated that less than 5% of all neobanks worldwide had reached profitability,” said Coenraad Jonker, CEO of TymeBank.

“Having achieved our first month of profitable operations in a significantly shorter timeframe is a South African success story that our 8.5 million customers can share with pride,” adds Jonker.

TymeBank attributes its growth and success to its model of combining digital channels with in-store kiosks at major retailers such as Pick n Pay, Boxer and The Foschini Group (TFG). It also has a partnership with the Zion Christian Church (ZCC), which has an estimated 12 million churchgoers.

Dr Patrice Motsepe, founder and chairman of major shareholder African Rainbow Capital (ARC) is one of the backers of TymeBank said, “Having attracted more than 8.5 million customers, TymeBank’s unique proposition continues to digitally disrupt and transform the banking sector. And as the business evolves, we are seeing it gradually appeal to more affluent consumers who appreciate its unrelenting innovation, customer-centric transparency and accessibility.”

The bank’s CEO says it will continue to offer affordable, accessible, and quality banking services to South Africans.

“As the country’s first digital bank we’ve overcome numerous challenges as we consistently innovated and broke new ground in the market. Through it, our team has remained focused and committed to our mission of providing South Africans with affordable, accessible, and quality banking services. This purpose has clearly resonated with consumers given our rapid growth, high levels of customer satisfaction and the successful introduction of a wide range of products and services,” Jonker added. 

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