The advocates of "radical economic transformation" often claim that the economy of SA is a closed system that maliciously and deliberately excludes "the majority". They should open their eyes. The most obvious current refutation of this baleful theory is the banking industry. In two days, two major and seemingly unrelated events have hit the headlines of the business media. On Wednesday, Capitec announced its interim results, noting it now had 9.2-million customers and this number was growing at about 100,000 a month. The bank, which began from nothing 16 years ago, is now the second-largest by customers and fourth by market capitalisation. From a governance and banking stability point of view, a huge number of countries root their system in a four-pillar approach. The idea is that having four dominant banks meets the contradictory needs of providing customers with sufficient competition and the banking system with sufficient stability. Capitec’s growth has confounded that theory in...

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