The Nedbank Group’s digital volumes and values have increased significantly.

This is as more clients across all its businesses embrace the benefits and convenience of digital channels.  

In Personal and Private Banking (PPB), digital transaction volumes and values increased by 10% and 16%, respectively, supported by a 9% increase in digitally active retail clients to 3.4 million. 

The latest financial results for the 2025 FY indicate that Nedbank Africa Regions’ (NAR) digitally active retail clients made up 70% of NAR’s total active client base, thereby achieving NAR’s 2025 target. 

Meanwhile, active Nedbank Money app clients increased by 14% to 3 million, supporting a 15% increase in transaction values. 

App users in NAR reported an 18% increase in app usage. 

The bank’s focus on client centricity has seen satisfaction metrics remain at the top end of the peer group. 

PPB’s Consumer Net Promoter Score (NPS) ranked #2 among the five large South African banks (Kantar survey), while Small Business Services (SBS) recorded their second highest levels of NPS in nine years.

 Corporate and Investment Banking (CIB)’s client satisfaction metrics were in line with global standards. 

Meanwhile, the results show that Nedbank’s headline earnings (HE) for the year ended 31 December 2025 increased by 2% to R17.2bn and return on equity (ROE) at 15.4% (2024: 15.8%), remained above the group’s cost of equity (COE). 

The increase in HE was driven by an improvement in the impairment charge, slow revenue growth and a decline in associate income in the second half of the year, following the sale of the group’s shareholding in Ecobank Transnational Incorporated (ETI), and by expense growth, including a once-off settlement with Transnet. Balance sheet metrics remained strong, enabling the declaration of a final dividend of 1104 cents per share.

Nedbank Group chief executive Jason Quinn said 2025 was a transformative year for the bank, marked by bold strategic decisions. 

“Well executed initiatives included the restructuring of our Retail and Business Banking (RBB) and Nedbank Wealth Clusters, the sale of the group’s ETI shareholding, the acquisition of fintech innovator iKhoka, and, more recently, an offer to acquire a 66% stake in NCBA Group. 

Strategic decisions 

The establishment of PPB and Business and Commercial Banking (BCB), following the restructure of the RBB and Wealth Clusters, is showing early positive indicators.

In PPB, this is evident in the 9% growth in active clients, a cross-sell ratio above 2.0 products per client, strong front book growth in the key lending portfolios, and 26% growth in the MyCover suite insurance premiums. 

In BCB, Nedbank seeks to accelerate growth through compelling new value propositions and to unlock benefits from the acquisitions of Eqstra and iKhokha. 

Initial signs of success include accelerated loan payouts in H2 2025 and stronger pipelines for 2026.

“In December 2025, we disposed of our 21% shareholding in ETI as part of a reset of our strategy on the broader African continent with a clear focus on the SADC and East Africa regions,” Quinn said.

“In January 2026, we announced that Nedbank Group had submitted an offer to acquire around 66% of the entire issued share capital of NCBA, one of East Africa’s most prominent financial institutions, operating across Kenya, Uganda, Tanzania and Rwanda, and with a digital presence in the Ivory Coast and Ghana,” he added.  

“Our strategic value unlocks, which focus on driving faster revenue growth and enhancing productivity, are making good progress,” said Quinn. 

“For the first time in the group’s history, total clients reached 8 million,” he added.

Outlook

Looking forward, Nedbank believes that SA’s growth prospects are optimistic, with gross the domestic product growth estimated at 1.5% in 2026. 

In this regard, consumer spending is expected to be a key driver as lower interest rates boost confidence and borrowing. 

Fixed investment is also predicted to recover steadily, benefitting wholesale banking activities.

“In 2026, we expect that strong underlying growth momentum across all our businesses will be partially offset by the normalisation of wholesale impairments off a low 2025 base, endowment pressure from lower interest rates and associate income from ETI that will not repeat. 

“As a result, ROE for 2026 is likely to be above 15%, heading towards 2025 levels, and above an improved COE of 14.0%. We expect ROE to build in the medium term to around 17%, supported by stronger revenue growth and a well-managed expense base,” said Quinn.

“We appreciate the support of our employees and clients’ ongoing trust, as well as the engagement of investors, regulators and other stakeholders. As Nedbank, we remain committed to using our financial expertise to do good,” he added.

-ebrandt@nepc.com.na