First National Bank (FNB), South Africa's oldest bank, has ordered 500 off-premises ATMs from Ohio-based Diebold as part of its strategy to expand its reach across South Africa.
The purchase of Diebold’s Opteva ATMs will enable FNB to offer self-service banking in areas where it has lacked presence, primarily due to the high costs involved in operating stand-alone banking outlets.
Mike Arnold, CEO of FNB’s ATM division, said: This is a big country, and conditions are not always right to have bank representation at every location. Diebold’s Opteva ATMs are ideal for FNB to extend its reach across the country.
Maintenance services will be delivered to FNB through Diebold’s partnership with local supplier Banking Machine Services (BMS). Diebold will provide FNB with first- and second-level software support and, where applicable, will assist BMS personnel with service delivery.
Mr Arnold said FNB plans to partner with retail organizations for placement of the terminals. Those retailers would rent the ATMs from FNB, and could generate revenue through transaction fees.