Minister Malatsi says Postbank card migration on track

Communications and Digital Technologies Minister Solly Malatsi says the process of converting Postbank cards from gold to black is on track.

This follows Postbank’s plan to reissue all its South African Social Security Agency (SASSA) branded cards to the SARB and the Department of Communications and Digital Technologies. This is part of the banking compliance to position itself as a full-fledged bank.

The institution is upgrading the financial switch to align with Europay, Mastercard, and Visa practices and Payment Card Industry Data Security Standard, and the core banking system.

The African National Congress has been pushing for a state-owned bank for a couple of years now.

In September 2023, President Cyril Ramaphosa signed the Postbank Amendment Bill into law. This allowed the formal transfer of the Postbank’s shareholding from the embattled South African Post Office to the government.

Over the years Postbank has offered minor banking services through the Post Office. But with the bill signed into law, Postbank may become a state-owned bank in the country.

However, the Reserve Bank sets terms that the bank must meet, such as the switch of SASSA cards to align with the core banking system.

“The switch is happening with regards to moving from the yellow cast to the gold cards. The deadline is the 31st of March. So currently, the Postbank is engaging with the beneficiaries, those who switch. They’ve also put measures in place so that even beyond that date, people will be able to access their money through a cardless service that is there.”

Digital migration

On the other hand, Minister Malatsi says broadcasters are discussing extending the digital migration deadline.

“We have committed to act very fast to try and get those decoders to be installed to help many South Africans to move with the realities. The government is under pressure to keep analogue and digital owned at the same time has massive, massive financial implications. The state cannot afford.”

Meanwhile, the minister says he has written to the Speaker of Parliament expressing the request to withdraw the SABC bill.