Afrimarkets issues a response following the FSCA's permanent revoking of its licence
Banxso and Afrimarkets are navigating significant regulatory challenges as the FSCA withdraws their licences.
Image: FSCA
South African trading platform Afrimarkets has permanently lost its financial services provider licence following a final decision that was made on its status by the Financial Sector Conduct Authority (FSCA) on Tuesday.
This comes hot on the heels of the FSCA hitting its sister company, Banxso (Pty) Ltd, with a landmark fine of R2 billion after it was accused of serious financial misconduct offences.
The trading licence of Afrimarkets was provisionally withdrawn by the FSCA in July 2025, following an investigation into its conduct, in which it was accused of materially contravening various financial sector laws.
In response to the permanent withdrawal of its licence, Afrimarkets said it had acknowledged the FSCA’s final withdrawal of its licence, effective December 9, 2025.
“Whilst we are carefully reviewing the FSCA's decision, our primary focus remains on our clients and ensuring their interests are protected throughout this process”, the company said in a statement issued on Wednesday.
Afrimarkets said it was currently exploring all legal options to ensure a just outcome that favorably protects the interests of its clients.
“We understand this news may cause concern, and we want to assure our clients that we are working diligently to navigate this matter responsibly,” Afrimarkets said.
“Afrimarkets is engaging with legal and regulatory advisers to thoroughly assess every avenue available under the Financial Sector Regulation Act. The Company remains committed to transparency and will provide further updates as soon as we are able to share more information.
“The stakeholders remain determined to pursue a resolution that safeguards our clients' interests and upholds fairness.”
The FSCA said its investigation found that Afrimarkets misappropriated client funds, provided advice to clients whilst it was not authorised to do so and provided false and/or misleading information to clients and to the FSCA.
The body also accused it of promising clients “unrealistic returns” and failing to act in the best interests of its clients.
However, critics of the FSCA's antics claim its July 4 action against Afrimarkets was not a measured regulatory intervention but an aggressive, coordinated assault carried out without transparency or due process. They claim the company’s licence was provisionally withdrawn and its bank accounts frozen based on “preliminary” and largely undisclosed findings, with the public - and possibly the company itself.
ALSO READ: Trial by Press Release: The FSCA's Coordinated Purge Claims Its Latest Victim
IOL Business