Cross-border payment platform dLocal has incorporated Capitec Pay to enhance real-time Open Banking payments in South Africa.
According to the official press release, dLocal facilitates payment transactions within South Africa for numerous international brands. Through this integration, the cross-border payment service that links global merchants with emerging markets now offers Open Banking-based and real-time account-to-account (A2A) payments in South Africa. This expansion caters specifically to international businesses operating in the country’s rapidly growing digital commerce landscape.
Capitec Pay, a solution provided by Capitec Bank, allows users to make immediate payments directly from their bank accounts without the need for cards or third-party platforms, as per reports. Transactions are authenticated via the Capitec banking app, ensuring consumers have complete control and avoiding the sharing of sensitive financial data online. Capitec Pay also introduces Variable Recurring Payments, aimed at subscriptions and digital services, providing customers with a mechanism to authorize ongoing payments.
Background
dLocal’s integration of Capitec Pay for real-time Open Banking payments in South Africa aligns with local payment preferences. It caters to consumers who prefer direct bank payments, offering instant settlement and a familiar authorization process that supports subscription and digital service models.
In a statement cited by an official at dLocal, the company seeks to provide global merchants with high conversion rates and reliable real-time A2A options through Capitec Pay. This move is seen as enhancing customer experience while bolstering growth in this market.
By incorporating Capitec Pay into its service, dLocal widens its payment offerings for South African customers. Now, they can make transactions with international merchants using a variety of payment methods such as instant electronic funds transfers (EFTs), card payments, buy now pay later (BNPL) services, and Open banking A2A transfers.
Merchants can utilize Capitec Pay via dLocal’s unified API without the need for additional local entities.
