The South African Reserve Bank has published a draft framework for a "Synthetic Financial Centre" for public comment. Submissions are due by close of business on 30 November 2026, the bank said in its release.
The framework is set out in a draft Exchange Control Circular published on 21 October 2026. The bank describes the centre as "a modern formulation to facilitate a financial hub", using legal, regulatory and tax arrangements that allow transactions to take place in South Africa even when the investors or assets are located elsewhere.
What the draft proposes
In phase one, approved institutions would manage qualifying foreign portfolios, and related foreign currency investment activities, from South Africa. The bank says later phases may add measures to build a competitive international financial centre.
Its stated goals are deeper financial markets, a more competitive financial sector, more investment management activity, greater skills depth and a stronger role as a gateway for investment into Africa.
How to comment
Comments go to the bank's Financial Surveillance Department at SARB-FinSurvDocuments@resbank.co.za by close of business on 30 November 2026, in the format set out in Annexure B of the release. The bank says it will consider the comments and make revisions where necessary.
Where the idea comes from
The bank says National Treasury is advancing the initiative, and links it to the finance minister's 2026 Budget Speech and to Exchange Control Circular No. 3/2026.
