EBANX and Capitec Advance Open Banking for Cross-Border Payments in South Africa

EBANX has introduced Capitec Pay to its suite of payment methods, marking an important development in South Africa’s transition toward open banking. The integration allows international merchants to connect directly with South African consumers through account-to-account transactions, bypassing traditional card-based systems.

Capitec Pay, created by Capitec Bank, represents the country’s first large-scale application of open banking in everyday payments. By enabling direct transfers from a user’s bank account with authentication handled inside Capitec’s app, the system offers real-time settlement and removes the need to share card details online. For global merchants, the benefit lies in lower fraud exposure and faster reconciliation.

South Africa’s payments landscape has often been shaped by low credit card penetration, with only about one in ten adults having ever used a card. In contrast, mobile-first solutions and account-based payments are gaining traction, reflecting wider trends across Africa where mobile banking has taken precedence over card infrastructure. The introduction of Capitec Pay through EBANX expands access to more than 20 million South Africans, providing them with new ways to take part in cross-border digital commerce.

Industry observers note that real-time account-to-account payments are not only a convenience upgrade but also a foundation for broader financial inclusion. The model aligns with global developments, where open banking frameworks are beginning to replace or supplement card networks as the backbone of digital commerce. Variable recurring payments, a feature embedded in Capitec Pay, also point to the system’s potential to support subscription-based services in a secure environment.

The collaboration will be discussed at the EBANX Payments Summit later this month in Mexico City, where industry leaders are expected to examine the role of local payment systems in connecting emerging markets to global trade. Analysts highlight that the move reflects a broader shift: international commerce increasingly depends on the localization of financial infrastructure, and South Africa is becoming a key testing ground for such transitions.