FINANCIAL SECTOR
SDDS Data Category and Component	Unit Description	Observations			Percentage change over same period of previous year
		Date of Latest	Latest Data	Previous period
Analytical Accounts of the Monetary Sector
Monetary aggregates : M3 (nsa)	R Million	01 2003	665605	668428	9.91
Domestic credit to the government sector (net) (nsa)	R Million	01 2003	34868	46176
Domestic credit to the private sector (nsa)	R Million	01 2003	756538	705516	12.66
External position	R Million	01 2003	-9112	14603
Analytical Accounts of the Central Bank
Reserve Money (M0) (nsa)	R Million	02 2003	51374	51880	3.26
Domestic claims on the government sector	R Million	02 2003	18116	15872	109.31
Domestic claims on the private sector (nsa)	R Million	02 2003	610	605	-38.97
External position - net foreign assets (nsa)	R Million	02 2003	42442	44084	-25.51

The financial sector of South Africa is at par with industrialised nations. The South African Reserve Bank is responsible for formulating and implementing monetary policy and overseeing the banking system. There is an array of private financial institutions - commercial banks, merchant banks, building societies, insurance companies and money-broking firms - serving the public, plus specialised institutions such as the Development Bank of Southern Africa (DBSA), the Land and Agricultural Bank and the Stokvels. There are several dozen deposit-taking institutions and controlling companies, but some 80% of total banking assets are controlled by four major banking groups (in order of assets): Amalgamated Banks of South Africa (ABSA); Standard Bank; First National Bank (FNB); and Nedcor. 

Foreign banks are well represented and more are opening or resuming operations since the lifting of sanctions. Key areas of business of foreign banks include trade finance, letters of credit, foreign exchange activities and services to offshore investors. 

Electronic banking is advanced, with a nationwide network of Automatic Teller Machines (ATM). Credit card facilities are available at all the major banks. 

There has been a gradual blurring of distinctions between banking institutions because of amalgamations and takeovers. Since 1991, building societies, commercial banks, discount houses, generalbanks and merchant banks are grouped together and regulated by the Banks Act of 1990. 

The Act stipulates compliance with specific prudential requirements in respect of capital, cash reserves, liquid assets and large exposures. 

There are several dozen deposit-taking institutions and controlling companies, but some 80% of total banking assets are controlled by four major banking groups (in order of assets): Amalgamated Banks of South Africa (ABSA); Standard Bank; First national Bank (FNB); and Nedcor. 

Stokvels are an integral part of urban black society Rotating credit association, stokvels normally consist of a group of about 12 members who pool their resources. Communalties ensure a low default rate. Research indicates that in urban areas alone over 24,000 stokvels operate with a total turnover of R84 million per months. 

The Industrial Development Corporation (IDC) and the Small Business Development Corporation (SBDC) offer financial services to enterpreneurs. The Land Bank provides financial support for the agricultural community. The DBSA is a government institution originally set up to provide development assistance to the former homelands. It has been transformed in to a technical and infrastructure bank designed to support the objectives of the RDP. 

JOHANNESBURG STOCK EXCHANGE (JSE)

The Johannesburg Stock Exchange (JSE), established in 1887 is the twelfth largest in the world in terms of market capitalisation (US$244bn) and 29th in terms of market turnover (US$20bn). Unit trusts are popular investment vehicles and are owned by the country's leading financial institutions. 
 

RANKING OF SOUTH AFRICAN BANKS