EBANX, a Brazilian technology company specializing in payment solutions for emerging markets, has significantly expanded its global reach by integrating Capitec Pay, South Africa’s leading open banking-based, real-time payment method. This pivotal integration marks EBANX’s first open banking solution deployed outside of Brazil, establishing it as one of the premier global Payment Service Providers (PSPs) to offer Capitec Pay for facilitating cross-border e-commerce transactions. Capitec Pay, meticulously developed by Capitec Bank, stands as South Africa’s pioneering large-scale account-to-account (A2A) payment system built on robust open banking principles.

Through this strategic integration, international merchants operating in diverse digital sectors—including online retail, subscription services, streaming platforms, gaming, and Software as a Service (SaaS)—are now empowered to offer this highly efficient payment option to their consumer base in South Africa. Wiza Jalakasi, Director of Africa Expansion at EBANX, underscored the importance of this development, noting, “South Africa stands out as one of Africa’s fastest-growing digital markets, with a digital commerce penetration rate of 73% and an expected annual growth rate of 18% through 2027.” Jalakasi further elaborated on the impact, stating that by integrating Capitec Pay, EBANX is actively “increasing access for over 20 million South African consumers to global digital commerce.”

Capitec Pay commands an impressive user base, reaching 24 million individuals, including 13 million active mobile app users. This widespread adoption is particularly crucial in the South African market, where credit card penetration remains relatively low, with the World Bank reporting that only 10% of the adult population utilizes credit cards. EBANX’s internal data highlights Capitec Pay’s exceptional performance, demonstrating a payment conversion rate exceeding 85%, which is notably higher than that of most traditional credit cards and various alternative payment methods. Chris Zietsman, Executive Head, Capitec Business Payments, affirmed the partnership’s significance, remarking, “Our partnership with EBANX marks a significant step in democratising access to global digital commerce for South Africans.”

From a technological standpoint, Capitec Pay harnesses secure APIs and relies on explicit customer consent to initiate real-time payments directly from bank accounts, thereby eliminating the necessity for physical cards. A notable feature is its Variable Recurring Payments capability, which enables secure and streamlined recurring transactions. Jalakasi emphasized the transformative potential of this technology, asserting, “Open banking is one of the most transformative trends in financial technology,” and lauded Capitec Pay for its “consumer-first design and technical integrity.” With the addition of Capitec Pay, EBANX’s comprehensive payment suite in South Africa now includes Instant EFTs, debit and credit card payments, and open banking A2A transfers. A key advantage of this system is the payment authentication process, which is securely conducted via the Capitec app, leading to a substantial reduction in fraud risk and processing costs for merchants. The integration is slated to be a focal point at the 8th EBANX Payments Summit, scheduled to take place from September 17 to 20 in Mexico City, where Chris Zietsman will deliver a presentation on the advancements of real-time, cardless payments in South Africa.