EZULWINI – Letshego Eswatini has been provisionally licensed to operate a digital bank in the Kingdom, following approval by the Central Bank of Eswatini.
The green light comes after Letshego submitted its application on October 17, 2024, seeking to transition from a financial services provider to a fully-fledged digital bank. The Central Bank subjected the application to a detailed review process that included document verification, stakeholder engagements, and financial assessments.
The provisional license, valid for up to 12 months, allows the entity – now trading as Letshego Eswatini Bank in-organisation (LEB) – to make preparations to meet the operational requirements of a licensed bank. During this period, LEB is expected to comply with all regulatory and legal conditions before it can commence full-scale banking operations.
According to the Central Bank, the decision was influenced by multiple factors, including the applicant’s financial stability, its track record in the local market, and the composition of its proposed management team. The applicant was found to have a healthy capital structure and a governance team with significant expertise in banking, fintech, insurance, legal, and digital communications.
CBE also noted that LEB’s business model aligns with the country’s financial inclusion goals. The proposed digital bank plans to target unbanked and low-income segments of the population and offer competitive savings and deposit rates.
A key point in the evaluation was LEB’s readiness to serve the needs of Eswatini’s underserved communities. Its business plan projects a modest but sustainable revenue model and includes community-focused initiatives.
The Central Bank stated it will maintain close oversight of LEB’s readiness and progress throughout the provisional licensing period.
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