South Africa’s financial system has been nothing if not resilient in the past few years. Its lenders cruised through the global crisis of 2008 and 2009 without experiencing much stress beyond their earnings falling slightly. By most measures, their sophistication rivals or beats that found anywhere else in the world, let alone Africa. In September, the World Economic Forum said the country had the second safest banking sector globally.
South Africa’s fiscal and monetary authorities can take much of the credit. They have long kept a close watch over the banks and ensured they adhere to stringent regulation, sometimes even to an extent that bankers feel is stifling. “It’s a common complaint from the banks that they are very highly regulated,” says Roy Havemann, chief director at South Africa's finance ministry. “But we did get through the financial crisis without problems. Of the G-20 countries, we were one of a handful that didn't have any issues with our banking sector, and that was largely due to a very strong regulatory framework.”
