Standard Bank Removes 1,942 ATMs in South Africa Due to Cash Withdrawals Decline

Standard Bank has removed 1,942 ATMs in South Africa between 2020 and mid-2025, cutting its network from 5,390 machines down to 3,448. This major reduction in ATMs is mainly because fewer people are withdrawing cash from the machines. Instead, more customers are choosing to do their banking online or through mobile apps, reflecting a big change in how people use banking services in South Africa.

This move by Standard Bank to remove ATMs in South Africa is part of a larger trend across the banking industry. Other big banks such as Absa, Nedbank, and First National Bank have also reduced their physical branches and ATM numbers. At the same time, newer online-only banks like TymeBank and Bank Zero are growing quickly without building expensive ATM networks, showing that South African customers now prefer the convenience of digital banking.

The reason for this change is clear: smartphones, internet access, and faster online services make it easy for people to pay bills, transfer money, and shop online. This means there is less need to physically go to an ATM to withdraw cash. As businesses move to electronic payment systems, the use of cash is dropping, which leads to banks rethinking the cost of maintaining lots of ATMs.

Standard Bank removes 1,942 ATMs in South Africa

Standard Bank has spent a lot on improving its mobile app and digital services to give customers a better online banking experience. By focusing on digital channels, the bank can offer faster and safer ways to manage money from anywhere, rather than keeping many costly ATMs open. This shift was sped up during the COVID-19 pandemic when people avoided handling cash due to health concerns and limit physical contact.

Despite the move towards digital banking, the removal of nearly 2,000 ATMs is a challenge for many, especially in rural and low-income areas. Many people in these communities still rely on cash and have limited access to the internet or smartphones. The closure of ATMs means some now have to travel longer distances to get cash, which raises worries about increasing financial exclusion.

To help, Standard Bank works with retailers to allow cash withdrawals at shops and has boosted its mobile banking options. But not everyone can switch easily to digital banking, and some groups like older citizens, informal traders, and social grant recipients may face difficulties.

The South African Reserve Bank, the country’s financial regulator, stresses the need to find a balance between using new technology and making sure all people, including those in rural areas, can access banking services. Banks need to keep innovating while also supporting customers who still depend heavily on cash.

In summary, Standard Bank removes 1,942 ATMs in South Africa as cash withdrawals decline sharply. This reflects a shift in customer preferences towards digital banking and mobile transactions. While this reduces costs and improves convenience for many, the closures highlight the challenge of making sure rural and poorer communities are not left behind as the banking industry modernizes. Balancing efficiency with financial inclusion will be important as South African banks continue to change the way they serve their customers.

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