Old Mutual Strengthens Offerings Across Africa

This article is part of a Special Report, kindly supported by Brand South Africa.

Q: Old Mutual as a group is strengthening and diversifying its offering, be it in insurance, asset management and (digital) banking. Can you tell us a little about the Group’s activities in the past year and where you see opportunities.

A: A significant milestone for us this year was achieving a critical regulatory approval in April 2024, marking a key step in the journey to launching OM Bank. We successfully completed industry testing, integrating the bank into the National Payment System, which included a groundbreaking simultaneous testing process with four payment clearing houses—an industry first. With these technical capabilities validated, we are now focused on fulfilling the remaining regulatory conditions and establishing governance structures to prepare for the bank’s formal launch by the end of 2025. This bank build is a cornerstone of our integrated financial services strategy, enabling us to better serve our customers across a broad range of financial needs.

Q: What are some of the challenges and headwinds you have had to overcome?

A: One of our biggest challenges has been the delay in securing regulatory approval, which has extended the timeline for launching the bank. Despite this, we remain focused on meeting the remaining requirements and are making steady progress toward public launch by the end of 2025.

Q: The asset management business is interesting, and you are managing climate-related funds on the continent as well as working with multilateral institutions to manage their funds. How is the asset management business performing and how do you see it changing over the next few years?

A: The asset management industry is closely linked to global investment markets, which have shown steady recovery over the past 12 to 18 months as central banks eased interest rates in response to declining inflation, particularly in developed markets.

As one of Africa’s largest asset managers, Old Mutual remains dedicated to driving sustainable outcomes through its investment mandates. Our commitment is underscored by our role as signatories to the Net Zero Asset Managers Initiative and the Net Zero Asset Owners Alliance. Given South Africa’s carbon-intensive listed market, supporting a just transition to decarbonising the economy is central to our responsible investment strategy.

Q: You have a special interest in tech and innovation. How do you see developments transforming your industry, and in which areas do you see it having the biggest impact? 

A: Financial services companies need to be vigilant about the future, but also embrace new technologies and put them to the test. Now is the time to think big, implementing the changes that will have the most impact, benefitting the greatest number of stakeholders. While the scope of innovation can feel overwhelming, this is an exciting time to lead change, particularly within Africa, the world’s largest trading bloc.

We are passionate about the role we play in future-proofing Africa by getting behind “tech for good”. By partnering with innovative businesses that provide tangible solutions, we aim to address critical challenges like healthcare, education, and job creation. Harnessing the power of collaboration, we work with the right tech players to create meaningful impacts on the lives and livelihoods of Africa’s people.  

Exponential thinking is key—businesses and customers who fail to adapt to emerging technologies risk being left behind. As a future-focused financial partner, we leverage technology to enhance financial literacy and wellness across the continent.

Q: Your Africa business outside of South Africa has been performing strongly in the past few years, showing some positive growth. What are the main areas of growth and opportunities you see?

A: Old Mutual’s strong presence across 11 countries in West, East, and Southern Africa reflects our commitment to driving financial inclusion and delivering tailored solutions to meet local needs. Strategic partnerships like our bancassurance collaborations with KCB Group in Kenya and Ecobank in Ghana have expanded access to financial products for underserved communities, serving over 30,000 customers in Kenya alone.

Our innovative digital solutions, such as the Phuka mobile savings wallet in Malawi and the O’mari mobile wallet in Zimbabwe, have also driven meaningful impact. These initiatives encourage a culture of saving and provide practical financial tools for everyday needs, collectively attracting over 1.5 million customers within their first year. 

These initiatives reflect Old Mutual’s commitment to delivering accessible, innovative financial solutions tailored to the unique needs of African markets. We continue to identify opportunities to expand our reach and contribute meaningfully to the continent’s growth and prosperity.