Banker S.A. June 2013 | Page 10

PROFILE From strength to strength From its humble beginnings 21 years ago, The Banking Association South Africa (The Banking Association) is looking to an even more eventful and fruitful future as it continues to play an integral role in the development of the country’s financial sector, says MD Cas Coovadia. J ust over two decades The Banking Association South Africa has grown to develop the industry and the country. Started as the Council of South African Banks (COSAB) in 1992, The Banking Association has undergone a series of changes to its profile and membership, and also initiated and participated in major policy initiatives by the government to grow, strengthen and protect the financial sector in general, and the banking sector in particular. The Banking Assosciation’s MD Cas Coovadia says that the organisation’s achievements are evidenced by among other accolades – South Africa’s banking sector being rated by the World Economic Forum Competitive Survey for 2012/13 as second out of 144 countries in terms of soundness, and third in terms of the development of its financial sector. As a result of the organisation’s involvement, Coovadia says the banking sector is playing a major role in the broader socio-economic growth strategy of the country, including promoting wider financial inclusion, financial literacy and responsible lending by banks. Through its Teach Children To Save South Africa programme The Banking Association is also involved in instilling a saving culture in South Africa, whose gross national savings are the lowest among the BRICS countries. Local bankers agree that The Banking Association’s achievements have been instrumental in the development of South Africa’s financial sector, which now contributes about 10,5% to tour GDP with assets to the value of over R6 trillion. The banking sector’s assets alone represent just over 50% of total financial services sector assets. Mike Brown, the Group CEO of Nedbank, believes The Banking Association has come of age since its humble beginnings in 1992. While banks in South Africa compete strongly with each other in the client environment, there are also benefits that can be derived for the industry from collaboration in the non-competitive environment, and The Banking Association plays a key role in facilitating this. 8 BANKER SA Subbed Banker 6 BASA at 21.indd 8 Edition 6 2013/07/18 8:04 AM