With 711 new hires, Capitec Bank bets on AI to boost workers, not cut jobs

Capitec Bank, South Africa’s largest retail bank by client, is driving a conversation with its artificial intelligence-backed initiative. In contrast to the contemporary status of AI-driven layoffs in companies, Capitec is putting AI tools in the hands of its employees.

Most of the bank’s employees now use AI tools in their daily operations. In fact, according to the company’s latest financial report for the year ended February 2026 (FY 2026), almost 5,000 of its employees now hold an AI licence and also interact with a generative AI tool daily.

In contrast to ongoing trends, the bank is expanding its workforce despite the rapid adoption of AI models. According to the report, overall headcount at the group increased by 4.3% (711 employees), surging the total staff to 17,236 from 16,525.

Commenting on the development, Capitec CEO Graham Lee stressed that the bank intends to continue hiring to strengthen specialist skills rather than lay off employees. In addition to increased headcount, salaries rose by 12%

Its digital transformation, strong investment in technology and shift towards a diversified financial ecosystem are driving the company’s headcount expansion. This further supports its capacity to cater to the surge in customers.  

Capitec is fast deepening its model by transforming from a traditional bank into an AI-driven financial technology leader. The bank aims to strengthen security, enhance customer experience and improve operations. 

Notably, the bank is integrating advanced technology into both customer-facing services and backend operations.

The company recently launched Pulse, an AI system that analyses and detects why a customer is calling using financial real-time data. In a three-month test run, the system showed that Pulse reduced call handling times by up to 18%, resulting in a 26% improvement in overall agent performance.

On the fraud front, the AI models have contributed measurable impacts. 

According to Capitec, the model blocked over 131,000 fraudulent beneficiaries and prevented more than 394,000 scam payments, which helped avoid $40.8 million (R673 million) in potential client losses. 

The impact also extends to the use of behavioural and transactional data in fraud investigations of the bank’s insurance, with the company having launched a dedicated investigation department last year.

Also Read: $157m in VAS and 14m app clients: Capitec’s tech engine powers H1 results.

Responsible AI 

In its AI framework, Capitec said it’s taking a responsible approach to managing AI risks. 

According to the report, the Bank has enhanced model risk management to a “tier-1 risk” and also listed AI “black box” and agentic AI as emerging risks. This emphasises the use of ethical AI practices and recognising the fluctuations of AI. 

In addition, Capitec noted that the responsible use of generative AI has already made it possible to improve client experience and support business operations. 

The company is focused on adopting a technology that is secure, accessible and improves client experiences, using AI to improve human agents in the Pulse services.

Capitec earnings

For the financial year ended February 2026, Capitec increased headline earnings by 23% to $1.02 billion (R16.8 billion), achieved a return on equity of 31%, and now serves 26 million active clients. 

In its different segments of operations, Personal Banking contributed 41% of its headline earnings, supported by 27% from Insurance, 26% from Fintech and 5% from Business Banking.

Capitec Connect, the company’s mobile virtual network operation (MVNO), recorded a profit after tax of $26.88 million (R442 million). Capitec Connect saw a rapid surge in its three-month active subscriber base by 67% from 900,000 to 1.5 million users.

Under the company’s affordability model, it gave back 3 petabytes of free data, worth $4.7 million (R78 million), helping users stay connected to work, school and opportunity.

Capitec Connect also launched affordable device sales to all clients through partnerships with Samsung and Apple, delivered nationwide.