For many financial institutions in South Africa, compliance has long been treated as a cost of doing business, a necessary function to satisfy auditors and regulators, and to avoid penalties.
But that mindset no longer holds up, writes Pienaar Zietsman, chief operating officer at Amplifin.
As the regulatory environment tightens and innovation in the payment solutions market accelerates, businesses that treat compliance as a side function are being left exposed: reputationally, operationally, and strategically. At Amplifin, we have seen how embracing compliance in your core operations can open up new opportunities, from reduced risk both reputationally and financial, to stronger relationships with clients and industry role players.
Whether it is POPIA, AML, and KYC obligations, or industry frameworks like PCI DSS, the compliance bar has never been higher. Financial services firms operate under constant scrutiny, not just from regulators but also from clients and stakeholders who expect secure systems and ethical data handling.
Trust is not built with slogans. It is built with good governance. And when that is missing, even unintentional gaps can result in reputational harm that is difficult to undo. When compliance is woven into your processes, not tacked on at the end, it does more than just protect you. It prepares you. It strengthens reputation, improves resilience, and helps you scale without having to retrofit systems every time the rules change. That is how businesses move from reactive compliance to strategic compliant readiness.
A broader view of sustainability
In business, sustainability is often reduced to environmental and social factors. But without sound governance, those efforts are undermined. Governance (the ‘G’ in ESG, which stands for Environmental, Social, and Governance—criteria used to measure a company’s sustainability and ethical impact) includes everything from board accountability to regulatory compliance and ethical data use. In the payments space, it is the cornerstone of a sustainable enterprise.
At Amplifin, we believe that enabling unregistered or non-compliant entities, whether knowingly or through oversight, undermines the integrity of the national payment system. Our role goes beyond processing payments. As a payment solution provider, we have a responsibility to ensure that our clients are registered with the appropriate regulators and comply with all relevant legislation. This protects the ecosystem’s sustainability.
This also means taking an active role in keeping bad actors out. As a payment solution provider, you are not just offering access but protecting access. Every player we enable gains entry to a broader financial ecosystem, and with that comes responsibility. If we do not apply the same scrutiny and compliance standards across the board, we compromise the integrity of the system for everyone.
Making compliance easier, not harder
Compliance is not easy, especially for small and medium-sized enterprises. Regulations change, and resources are tight. Many startups do not have full-time compliance officers.
But more than that, we work closely with our clients. We offer guidance, implement controls, and keep pace with regulatory developments, so our clients do not have to do it alone.
Compliance is not the job of a single department or specialist. Instead, it is a shared commitment that touches every part of a business, from how you onboard customers to how you engage with regulators. It is not just about staying out of trouble but about building a company that lasts.
As South Africa’s financial services industry continues to evolve, the question is not whether your business can afford to invest in compliance. It is whether you can afford not to.”
Glossary:
- POPIA (Protection of Personal Information Act): South Africa’s data privacy law. It governs how businesses collect, use, and protect customer information. Crucial for any company handling personal data, especially in digital transactions.
- FIC Act (Financial Intelligence Centre Act): The backbone of South Africa’s anti-money laundering (AML) framework. It requires businesses to verify clients, monitor transactions, and report suspicious activity.
- PCI DSS (Payment Card Industry Data Security Standard): A global security standard for handling credit and debit card transactions. If your business accepts card payments, compliance with PCI DSS helps protect customer data and reduce fraud risk.
- AML (Anti-Money Laundering): A set of laws and processes designed to detect and prevent financial crime. AML obligations apply to banks, payment solution providers, and even SMEs in the payments space.
- KYC (Know Your Customer): A due diligence process to verify the identity of clients. It’s a key step in preventing fraud, money laundering, and terrorism financing.
- FSCA Guidance (Financial Sector Conduct Authority): The FSCA regulates conduct in South Africa’s financial sector. Their guidance ensures financial service providers treat customers fairly and comply with evolving industry standards.