Impact Partner
An interview with Khanya Matshikwe, Head: Proposition Enablement - SME Relationship Banking – Strategy & Customer Value Management, Absa
In this week’s edition of Lioness Weekender, we are focusing on how women entrepreneurs can get access to better financial advice and support for their businesses, to help them to grow and thrive. So to learn more, who better to speak to than Khanya Matshikwe, Head: Proposition Enablement - SME Relationship Banking – Strategy & Customer Value Management at Absa. Khanya will be a familiar face and name if you have attended one of the popular Lioness Business Agility webinars over the past year, where she provides great insight and information on what Absa is practically doing to support women-led SMEs.
Khanya Matshikwe, Head: Proposition Enablement - SME Relationship Banking – Strategy & Customer Value Management at Absa
Khanya, since Absa launched its dedicated banking solution for women and youth back in October last year, at our Lioness Business Agility event, a lot of great work has been underway by the bank to support women and youth. Remind our readers why Absa is taking such a focused approach to these important consumer groups.
At Absa, we are committed to enhancing financial inclusion through our entrepreneurship ecosystem. Why support women in business? It’s simple and the numbers speak for themselves - 43% of South African households are led by women; women earn 23-35% less than men doing the same job; and 22% of businesses operating in South Africa are owned by women. It’s a similarly compelling reason as to why we support youth in business. Young people represent 41% of the population in South Africa; participation by youth in business is relatively low, with a total entrepreneurial activity of 9.2%; and the number of unemployed youth is 4.7 million.
Since we launched our banking solution for women and youth entrepreneurs in October last year, we have attracted over 1500 new active accounts to the bank. We are delivering on our promise to continuously meet the unique needs of these businesses, and since that time we have enhanced this dedicated offering even further. While there are definitely common challenges among youth and women entrepreneurs, we understand that every business and client segment is different. With this in mind, we will drive differentiated offers to cater for the most important needs of women in business and emerging entrepreneurs.
Absa Emerging Entrepreneur is focused on primacy and solutions that enable flexible payments. Absa She Thrives is focused on ease of access to funding and protecting the legacy of the woman entrepreneur.
It’s great to see Absa taking a really holistic and focused approach to its Women and Youth Proposition. So please share what the propositions entail and the benefits that can be accessed to really help women entrepreneurs take their businesses to the next level.
There are a wide range of benefits to be accessed through our Women and Youth Proposition, including:
Access to networking and market access: Free membership to the National Small Business Chamber (NSBC) which includes webinars, workshops, and networking opportunities. Also, access to the Lionesses of Africa platforms, tools and resources, plus free attendance at the Lioness Business Agility webinars throughout the year.
Access to relevant training: 12 months access to Udemy business-related training courses on the online learning and teaching platform.
Simple transactional banking: Access to the Absa Business Evolve account and no monthly fees for the first six months. This includes the Shari’ah compliant account and Islamic Depositor Plus with competitive profit share earned when a minimum balance of R100 is maintained.
Discounted business protection: Clients are eligible for up to 35% discount on short term insurance premiums
Flexible payments: Convert an Android mobile device into a point of sale (PoS) through an easy online sign-up process on Absa Mobile Pay. Sign-up with Absa Merchant Evolve and have the first month’s device rental waived and benefit from tiered pricing as transaction values grow.
Easy access to funding: An Absa business credit card with a pre-approved limit and initiation and monthly card fees waived for the first six months.
Protecting the Financial planning – Free financial advice focusing on will. Offer includes Shari’ah compliant wills.
Protecting business and personal legacy - Buy and sell agreements and life insurance
Easy access to funding: An Absa business overdraft accessible through an easy online application process, with initiation fee waived.
Absa Bank’s incredible work to support the growth of SMEs was recognised last month with a major new award win. Please tell us more…
Absa Bank has been recognised by the prestigious Euromoney Awards for Excellence 2024, and awarded the accolade of South Africa's Best Bank for SMEs. The Euromoney Awards are the definitive annual awards programme for the banking industry, celebrating the achievements of banks and bankers from across the globe. Over 600 banks from over 100 countries enter the Awards for Excellence every year, making it the most comprehensive awards programme in the industry. The Euromoney Award for Excellence 2024 recognised Absa Bank’s significant work and initiatives to support the growth of SMEs in South Africa, and particularly women and youth owned businesses. In 2023, Absa increased sales in the small and medium-sized enterprise segment by 48%. The bank also improved its Enterprise and Supplier Development proposition to boost SME financial inclusion. The new credit policy evaluates SMEs based on expected contract cashflows and allows them to draw funds as needed, with interest accruing only on drawn amounts.
How can women entrepreneurs find out more about the Absa Women and Youth Proposition?
The solution is available via our branch network and Absa Online. More information is also available at https://www.absa.co.za/business/. Please also be on the lookout for our marketing campaign, which will be visible across a number of platforms, including www.lionessesofafrica.com