South Africa’s biggest banks closing ATMs across South Africa

Absa, Standard Bank, and FNB have been closing ATMs over the last five years, while Capitec has significantly increased its ATM footprint.

The Outlier and MyBroadband revealed this in separate reports, which tracked the number of ATMs between 2019 and 2024.

The Outlier reported that Absa, which used to have the most ATMs in 2019, closed almost 3,500 as its customers moved to eCommerce and digital platforms.

Most of the closures took place between 2020 and 2022. Absa said its ATM footprint remained stable over the last year.

The main reason for the small decline in the number of ATMs over the last year was sporadic violent crime.

That included bombing certain ATM sites, for which replacement units were no longer feasible.

Standard Bank has slashed its ATMs from 9,321 to 6,232 over the last five years. The decline of 3,089 machines does not mean it is not investing in its ATM network.

The bank explained that it is introducing ATMs with new technology, significantly improving transaction speed and quality of service.

“The new ATMs have higher capacity and offer more client services, including real-time acceptance, validation, and recycling of bulk cash,” it said.

Users can also print or email official bank documents such as account statements, proof of banking details, and confirmation of deposit at the ATM.

“This is part of a five-year journey which will also result in either removal or relocation of low transacting ATMs to areas that are more convenient and accessible to clients,” it said.

While cash withdrawals did not fully recover from their decrease during the COVID-19 period, ATM cash deposits have increased.

FNB reduced its ATM footprint from 5,780 machines in 2019 to 4,790 five years later – a decline of 990.

FNB explained that it continuously evaluated device placement, driven by local market alignment and device economics.

“Although there is a downsize in ATMs, we are installing more ADTs (automated deposit tellers) for expanded functionality for our customers,” FNB said.

Nedbank has seen a slight increase of 19 ATMs since 2019 despite removing 62 obsolete devices over the last two years.

It said it had observed an increase in demand for its ATM services, including by non-Nedbank customers.

“However, we also note the increasing trend in digital payments and transfers, which could potentially impact the future growth of ATM transactions,” it said.

MyBroadband reported that Capitec increased its number of ATMs from 5,011 in 2019 to 8,382 in 2024.

Capitec said the demand for ATM services depends on numerous factors, including economic growth and the interest rate.

However, it highlighted that digital solutions increased the options available to clients, impacting the use of cash in South Africa.

ATM numbers in South Africa

MyBroadband’s analysis showed that the number of ATMs in South Africa declined from 33,171 in 2019 to 28,967 in 2023/2024.

The decline of 4,204 ATMs across South Africa points to a reduced demand for cash and improved technology, the Standard Bank’s new ATMs.

Another reason for lower ATM demand is the increase in retailer cash points by digital upstarts like TymeBank.

Their customers can use 15,000 till points at prominent retailers or in-store kiosks to access cash services.

Apart from increased convenience, it is also safer as many ATMs are more accessible to criminals to rob people who withdraw cash.

The chart below, courtesy of The Outlier, shows the decline in ATMs over the last five years.