SARB to establish insurance body to protect deposits
South African bank clients will have legal protection from next year when government's first deposit insurance body comes into existence.
The South African Reserve Bank has established the first deposit insurance scheme, called the Corporation for Deposit Insurance.
It's part of efforts to protect clients and restore consumer confidence in the financial sector.
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"From 1 April 2024, South African depositors will be protected by what will be called the Corporations for Deposit Insurance - CODI," says Deputy Governor of the Reserve Bank Kuben Naido.
Naido says CODI became a legal entity last month as set out in the commencement schedule published by Finance Minister Enoch Godongwana.
"CODI will be able to protect all depositors qualifying deposits for up to R100 000 in any registered bank in South Africa.”
