Sanlam Steps Into Banking With GoTyme, Following Old Mutual and Discovery

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Sanlam’s banking move through GoTyme Bank puts Africa’s largest insurer into transactional accounts, deposits and unsecured personal loans, with a soft launch set for 1 November 2026.

Sanlam, Africa’s largest insurer, is stepping into South African banking through a partnership with GoTyme Bank rather than building a standalone bank. The company said regulatory approval has cleared transactional banking services, with a soft launch planned for 1 November 2026 and a broader rollout in the first quarter of 2027.

How the Sanlam banking move works

Sanlam’s network reaches 27 African markets through the SanlamAllianz joint venture alone, giving it one of the widest financial footprints on the continent. The new banking offering is expected to start with transactional accounts, deposits and unsecured personal loans.

Sanlam will distribute the products through its existing ecosystem of customers and advisers. GoTyme Bank will hold the deposits and perform the regulated banking function.

This structure lets Sanlam enter banking without carrying a full banking licence or building branch infrastructure from scratch. It also gives GoTyme access to Sanlam’s large customer base and distribution network.

A crowded South African banking race

Sanlam is not the first South African insurer to chase banking revenue. Old Mutual has already moved into banking, and Discovery Bank has been operating since 2019.

South Africa’s financial sector is large and competitive, with established banks, digital lenders and insurers all competing for the same customers. Insurers are using banks, digital lenders and embedded finance to deepen customer ties and cross-sell credit, insurance and payments.

The logic is simple: a customer who holds a transactional account or a personal loan with an insurer is more likely to buy that insurer’s other products. Deposit accounts also give insurers a cheaper source of funding than wholesale markets.

The power players behind the deal

South African finance is increasingly shaped by domestic conglomerates and politically connected capital. The GoTyme and TymeBank group is backed by Patrice Motsepe, one of South Africa’s most prominent business figures.

Sanlam, valued at R175 billion (about US$10 billion) on the Johannesburg Stock Exchange, set up a retail credit joint venture with GoTyme in June 2026 and is seeking lower-cost distribution and better deposit pricing in a market where credit demand remains strong. Partnering with an existing digital bank gives Sanlam a faster route to market than applying for its own banking licence.

The arrangement also reflects a broader shift in African financial services. Insurers, telecoms companies and retailers are all moving into payments and credit, blurring the lines between traditional financial sectors.

What Sanlam gains from banking

Transactional accounts give Sanlam a daily view of customer cash flows, which can improve credit scoring and product design. Deposits provide a stable funding base that can support lending growth.

Unsecured personal loans are a natural extension for an insurer that already prices risk across life, health and short-term insurance. The cross-sell opportunity is significant given Sanlam’s existing customer relationships.

Sanlam’s 2026 update said work was continuing for the South African launch with GoTyme. The company has framed the move as part of a broader strategy to deepen customer relationships and diversify revenue.

The regional and strategic read-through

Sanlam’s move into banking matters beyond South Africa. As Africa’s largest insurer, its product choices influence competitors in markets from Kenya to Nigeria to Ghana.

The partnership model also offers a template for other African insurers that want banking capabilities without the cost of a full banking licence. Embedded finance is spreading quickly across the continent’s larger economies.

This fits the wider pattern covered in Africa: The New Scramble, where domestic conglomerates and politically connected capital are reshaping finance, mining and infrastructure across the continent.

What to watch next

The soft launch on 1 November 2026 will be the first real test of customer appetite for Sanlam-branded banking products. The broader rollout in the first quarter of 2027 will show whether the partnership can scale beyond early adopters.

Competitors will be watching closely. Old Mutual and Discovery Bank have already invested heavily in their own banking platforms, and established banks will not cede deposits or loan customers without a fight.

The key question is whether Sanlam’s distribution advantage translates into meaningful deposit and loan volumes. If it does, expect more African insurers to follow the same path.

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