Global fintech firm Wise has secured conditional approval from the South African Reserve Bank (SARB). The licence allows Wise to operate as a Category 2 Authorised Dealer in Foreign Exchange with Limited Authority. This approval brings Wise closer to its South African launch and is the company’s first licensed market in Africa.
Cross-Border Payments Market Landscape
Wise, a London listed company, plans to open international transfer services for personal users in South Africa. The country moves more cross-border payment traffic than most African markets. People send money for households, schooling, contract work, and small business trade. Many transfers still pass through banks and legacy remittance providers. Costs remain high. Pricing detail is often unclear before send-off. Settlements can also take longer than users anticipate. Wise expects its model to appeal to customers who want better price visibility and quicker completion cycles.
South Africa is Africa’s most developed payments interchange. But high transfer costs still affect many users. Pricing visibility remains limited in parts of the system. Settlement delays also disrupt planning for senders. Wise says it wants to reduce these pain points for families, workers, students, and sole traders moving money abroad.
Pricing Structure and Cost Transparency
Wise uses the mid-market exchange rate. This is the same forex rate shown on independent global pricing feeds. There are no hidden currency conversion markups added into the rate. Instead, Wise displays final costs before confirmation. Customers see transfer fees and conversion totals before they approve a send. They therefore pay one upfront charge. They do not discover additional costs after settlement.
UK Prime Minister Keir Starmer recognised the approval milestone. He described South Africa as a strategic market partner for UK-built fintech expansion. His statement linked Wise’s entry to Britain’s technology trade ambitions. He highlighted the UK’s competitiveness in financial technology and payments engineering.
Inclusion and Compliance Path
Nadia Costanzo, the director leading regional banking partnerships and market expansion for the Middle East, Africa, and Latin America, said many South Africans still face hurdles when sending money abroad. She noted that digital tool adoption surged quickly. But fair conversion pricing and lower cost transfer rails have not reached everyone yet. Costanzo said the SARB nod signals regulatory appetite for competition. She also confirmed that Wise must complete final compliance conditions before operations begin. The company plans continued dialogue with SARB as South Africa updates foreign exchange and payments rules to support competition and faster settlement.
Global Scale and Market Outlook
Founded in 2011, Wise grew into one of the world’s largest cross-border payments platforms. In the 2025 financial year, it processed £145 billion in international transfers for 15.6 million users worldwide. With SARB approval in place, South Africa becomes the first licensed point on the company’s African roadmap. Wise expects strong uptake once compliance steps conclude and services open locally.
