Abstract
M.Com. (Economics)
The objective of the thesis is to examine some of the
aspects relating to the nature and scope of the
electronification of the South African banking industry and
the consequences of such electronification for the rendering
of financial services to a market characterised by extreme
dualism.
The dualistic nature of the South African economy finds
expression in a very sophisticated First World economy on
the one hand and a very backward Third World economy on the
other hand. Approximately 95 per cent of South Africa's
economic activity is conducted in the First World economy.
The rather well developed industrial, commercial, financial
and technological activities are concentrated in the First
World areas such as the PWV-area, the Western Cape, Port
Elizabeth-Uitenhage and Durban-Pinetown. These areas are
supported by modern and highly developed infrastructure
[inclusive of a very sophisticated banking industry],
skilled manpower and a strongly developed technology. These
conditions are contrasted by a Third World sector where less
than 5 per cent of the gross national product is produced
and a far lesser need for sophisticated banking services
exists. The Third World sector has little or no supporting
infrastructure and trade is mainly conducted by barter or
cash. These highly divergent socio-economic conditions
place unique demands and restraints on the banking industry...