Fintech
Optimism fuels
digital payments
Standard Bank positions digital payments as an increasingly central layer of business infrastructure.
Data from South Africa’s year-end trading period points to growing optimism around digital payments, supported by resilient consumer demand.
“The 2025 festive season trade results reflected this robust consumer activity, reinforcing optimism and strong momentum in digital transactions, following double-digit increases in both transaction volumes and values,” said Standard Bank in a press release.
Digital transaction volumes rose by 10.5% year-on-year (YoY) to 74.15-million, while digital transaction value climbed by 10% YoY to R35.62-billion. The bank says this underscores the growing role of digital financial services in supporting business growth and consumer spending during SA’s busiest trading period.
“The surge in South African digital commerce reached an unprecedented peak, with e-commerce volumes growing by 40% YoY. This rapid acceleration signals a permanent shift in consumer behaviour, as shoppers move away from traditional retail toward mobile-first, digital storefronts.
“For merchants, this growth represents a massive opportunity to scale, but it also demands unified platforms that can handle increased transaction volumes across web and social channels without compromising speed or security.”
Sector and regional growth highlights include:
Top sectors by turnover growth in December 2025:
- Grocery stores – up 23% YoY
- Food and convenience stores – up 12% YoY
- Top regions by turnover growth in December 2025:
- Gauteng – up 7% YoY
- Western Cape – up 23% YoY
- KwaZulu-Natal – up 10.5% YoY
Norman Nyawo, Standard Bank SA head of merchant solutions for business and commercial banking, says: “December’s spend reflects the strength of SA’s digital payments ecosystem. Consumers are embracing convenience, retailers are scaling online and integrated platforms, and together we are driving a more connected economy. This growth is not just about numbers, it is about trust, innovation, and the future of e-commerce.”
Standard Bank outlines the following trends shaping digital payments:
- Central to operations: Digital payments are no longer optional; they are now fundamental to how businesses operate. Customers expect the flexibility to pay anywhere, in-store, online, or on social platforms. Merchants who make payments easy sell more, check out faster, and lose fewer customers.
- Unified systems: The line between online and in-store commerce has disappeared, creating demand for platforms that consolidate all sales channels into one view.
- Real-time payments: Traditional next-day settlement is becoming obsolete. With real-time payment rails such as PayShap for Business, merchants now receive funds instantly. This immediate access to cash is critical advantage for SMEs managing daily expenses and inventory.
- Embedded finance and Transactional lending: A business’s payment history is the new credit score, allowing merchants to access pre-approved loans and offer ‘Buy Now, Pay Later’ (BNPL) solutions without carrying the lending risk.
- Social commerce and In-Chat Checkout: Payments are moving directly into social and messaging platforms. Secure payment links within WhatsApp, Instagram, and similar channels allow merchants to complete sales where customers already engage.
- The Arrival of Agentic Commerce: In 2026 “customers” are no longer just humans; they are AI agents. Agentic commerce allows a customer’s personal AI to negotiate, select, and purchase products on their behalf. For merchants, this means optimising not just for human customers, but for AI buyers.
“For businesses to grow, Standard Bank’s SimplyBLU powered by Visa makes it easier,” says Nyawo. “It is more than just a payment tool; it is an all-in-one platform. By consolidating every sale, online, in-person, or mobile. into a single interface, we enable merchants to scale without the friction of managing multiple systems.”
As South Africa’s economy continues to evolve, digital payments are playing an increasingly central role in business activity and consumer spending. Standard Bank says the strength of festive season transaction data points to sustained momentum in digital payments, with implications for how businesses of different sizes participate in the digital economy in the years ahead.
