The National Treasury is set to take action to address the R88bn in unclaimed assets and benefits sitting in banks, insurance companies and retirement funds.
In his budget speech, finance minister Enoch Godongwana said the Treasury would appoint a central administrator to manage the unclaimed benefits, keep records and do tracing following recommendations from the Financial Sector Conduct Authority (FSCA).
The FSCA had proposed that financial institutions be compelled to transfer unclaimed assets into a central fund rather than a National Revenue Fund (NRF).
Efficient Group director and chief economist Dawie Roodt said it makes sense to put the unclaimed benefit into one fund.
“My suspicion is that the minister of finance is after this money.
“I won’t be surprised if we get legislation in a couple of years’ time whereby if there is an unclaimed benefit of five years, then it goes to the state,” he said.
“Having said that, it makes sense to put the monies in one big fund.
“The databases can be combined and by doing that it might be possible to discover more people.”
The FSCA estimated the value of unclaimed assets held by financial institutions at R88.56bn in 2022 and comprised 53% of retirement benefits, followed by 38% held by investment and life insurance schemes.
Inaccurate member information, outdated member contact details, and employers not providing comprehensive details of members and their beneficiaries are the main reasons for the unclaimed funds.
The JSE — which launched a campaign to trace beneficiaries of former employees, shareholders or beneficiaries of deceased estates with their unclaimed funds, called the “Claim It” initiative in February 2025 — welcomed the idea of a central administrator.
Spokesperson Vuyo Lee said a central administrator could streamline beneficiary tracing by consolidating all data into a single and secure system.
The exchange’s Claim It campaign had significantly increased public awareness and has catalysed the reconnection of unclaimed dividends with their rightful owners, she added.
“Nearly 87,000 individuals have requested dividend status checks, and 13,000 have been identified as having dividends due to them.”
She said to further simplify and accelerate the process, “We will be introducing #ClaimItNow, our official WhatsApp channel. People can verify their identity, confirm account details and complete the registration process from the convenience of their cellphone.”
Standard Bank’s Jonathan Lamb said a multi‑pronged approach was needed.
“What matters most is that all parties responsible for tracing beneficiaries embrace every available tool, including modern, digitised solutions powered by data and technology.”
- Business Times
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