Absa Wins GEPF Custody Contract to Guard South Africa’s US$215 Billion State Pension Fund
Absa's 2026 interim results confirm it has won the GEPF custody contract, taking over the safekeeping of South Africa's state workers' pension fund from Standard Bank after 30 years. The post Absa Wins GEPF Custody Contract to Guard South Africa’s US$215 Billion State Pension Fund appeared first on The Rio Times .
Absa has secured a significant custody contract to manage South Africa’s US$215 billion Government Employees Pension Fund (GEPF) assets. The GEPF, which is Africa’s largest pension fund and serves state workers, has been under Standard Bank’s custody since its inception in 1996. Standard Bank’s 30-year tenure ended after a competitive tender in 2021, signaling a shift in the custodian landscape.
Absa disclosed the new mandate in its interim results presentation on August 18, 2026, valuing the assets at R3.5 trillion, equivalent to the previously mentioned US$215 billion. The GEPF, governed by the Government Employees Pension Law and administered by the Government Pensions Administration Agency, oversees the retirement savings of over 1.2 million active members and 565,000 pensioners.
As a custodian bank, Absa’s role involves safeguarding and managing the fund’s investments, settling trades, and generating performance reports. This contract comes after Absa exited the South African custody and trustee business in 2013, only to return with a renewed focus on securities services. The GEPF contract presents an opportunity for Absa to rebuild its position in the competitive African securities-services market.
The transfer of assets and management responsibilities between the two banks will be a meticulous process, involving legal custody accounts, holdings, transaction histories, and electronic links to investment managers. The contract also reflects a broader trend in African public money handling, where banks are competing for the trust and business of significant state pension funds.
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