Joint Communication 5 of 2025: Ministerial Determination under Sections 291 and 292 of the Financial Sector Regulation Act

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Financial Sector Regulation Act, 2017
Joint Communication 5 of 2025
Ministerial Determination in terms of sections 291 and 292 of the Financial Sector Regulation Act Sections 291 and 292 of the Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) make provisions for transitional arrangements relating to medical schemes, collective investment schemes, pension funds and friendly societies. In this regard, the functions and associated powers and duties of the Prudential Authority (PA) and the Financial Sector Conduct Authority (FSCA) pertaining to medical schemes will be performed by the Council for Medical Schemes (section 291). In relation to collective investment schemes, pension funds and friendly societies, the power of the PA to make prudential standards and otherwise achieve its objectives will be exercised by the FSCA (section 292). This transitional arrangement was intended to apply for a period of three years from the date of the establishment of the PA and FSCA, with the option for it to be extended or reduced by the Minister of Finance. The extent of the delegation and the conditions thereto were determined by the Minister of Finance and published. In October 2020, the Minister of Finance, through a notice, extended the aforementioned periods until 31 March 2024 1 . In early 2024, a further extension was granted for the transitional arrangements relating to medical schemes to 31 March 2027 and for collective investment schemes, pension funds and friendly societies until 31 March 2026. 2 3 In November 2025, a final extension of the transitional arrangements provided for under sections 291 and 292 was granted by the Minister of Finance, for medical schemes until 31 March 2029 and for collective investment schemes, pension funds and friendly societies until 31 March 2028. 4 This extension is aimed at facilitating an orderly and effective transition to and development of fit-for-purpose regulatory and supervisory frameworks for these sectors. Collaborative work between the authorities is underway and will be communicated to industry as the transitional arrangement plans evolve. 1 Government Notice No. 1094 in Government Gazette Number 43810 dated 16 October 2020. 2 Government Notice No. 4470 in Government Gazette Number 50374 dated 26 March 2024. 3 Financial Sector Regulation Act: Determination: Functions of the Prudential Authority in relation to medical schemes and the associated powers and duties of Prudential Authority. 4 Government Notice No. 6883 in Government Gazette Number 53729 dated 28 November 2025.

Requests for further information or any enquiries regarding this Joint Communication may be directed to the FSCA via Pieter.DuToit@fsca.co.za and the PA via PA-Standards@resbank.co.za.

FINANCIAL SECTOR CONDUCT AUTHORITY
PRUDENTIAL AUTHORITY
DATE: 08 December 2025
DATE: 08 December 2025