FNB Expands R2 Billion Funding Boost To Empower South Africa’s Informal Businesses

Source: Supplied. Jose Gomes, Business Development Head: FNB.

In the past year alone, the bank expanded this portfolio by over R2 bn, helping business owners access vital funding to sustain and grow their operations.

Beyond the figures, this investment translates into thousands of jobs, stronger families, and thriving local economies. In a sector that employs nearly one in five South Africans and contributes an estimated R750 bn to the national economy, access to finance can be the difference between survival and expansion.

Cash flow simplified

For many informal businesses, spaza shops, salons, taverns, hairdressers, and local logistics providers—traditional banking has been out of reach. FNB’s approach changes this by looking beyond paperwork and collateral, instead using real-world indicators like timely payments to suppliers and staff.For example, a salon owner can access working capital based on daily card sales.

When demand spikes before the festive season, the owner can quickly secure funds, stock up, and hire extra hands. Repayments are made as a small percentage of each day’s sales, keeping cash flow steady. For a tavern owner, owning a payment device outright, rather than paying monthly rental, means its less one more monthly expense impacting cash flow, while providing customers with an alternative payment method to cash.

The impact is tangible:

• R18bn in loans advanced to the community economy has enabled thousands of businesses to expand, innovate, and employ more people.
• Advances to micro, small, and medium enterprises (MSMEs) grew by 20% in FY2025, with a 28% increase for businesses with a turnover of up to R5m.
• Deposits from MSMEs rose by 20% overall and 27% in the R0–R5m turnover segment.
• Sectors such as spaza shops, salons, taverns, and local logistics providers continue to outperform, with demand for working‑capital solutions growing between 28% and 30% in the R0-R1m and R1-R5m segments, respectively.

Investing in growth

This impact goes far beyond what’s reflected in financial statements — it represents new opportunities for business owners who have long been excluded from traditional finance.

A spaza shop can weather tough months, a salon can hire and train young people, and a tavern can invest in safer, more efficient operations.In a country where the community economy is a lifeline for millions, especially the youth who are unable to find jobs—every rand of funding is a step towards greater inclusion and resilience.

FNB’s commitment extends beyond lending. Over 3,400 entrepreneurs attended business literacy workshops this year, and hundreds joined networking events and mentorship programmes. Digital payment solutions and platforms like nav» Marketplace are helping businesses reach new customers and suppliers.

“Our approach is about understanding the realities of the community economy,” says Jose Gomes, Business Development Head at FNB Commercial.

“We look at how businesses manage their day-to-day finances—paying suppliers, staff, and landlords on time—rather than just their paperwork. This means more entrepreneurs can access finance, manage cash flow, and expand their businesses.”

These are not just statistics, they are stories of resilience, growth, and hope. FNB’s goal is to help businesses in the community economy overcome barriers, build sustainable futures, and contribute to a more inclusive South African economy.