From Burial Societies to Investment Clubs: How Stokvels Became Part of South Africa’s Living Heritage
Every month, millions of South Africans come together through stokvels, pooling their
resources to achieve shared financial goals and build a more secure future. What began
generations ago as a community-driven approach to saving has evolved into a powerful
financial movement, adapting to meet modern needs while remaining rooted in collective
support. Today, stokvels help members fund everything from groceries, education and
funerals to property investments, entrepreneurship and long-term wealth creation.
This Heritage Month, stokvels deserve recognition as a vital part of South Africa’s living
heritage. With an estimated 11 million members across more than 800,000 groups, stokvels
remain one of the country’s most significant savings mechanisms, enabling communities to
save collectively, support one another and increasingly build wealth. While their goals have
evolved over time, the spirit of stokvels remains distinctly South African: a belief that
financial progress is stronger when achieved together, and that collective action can unlock
opportunities that might otherwise be out of reach.
Few stories capture this better than Basepedi Burial Society, a previous winner of the Absa
Stokvel Awards for the Lifetime Stokvel Achiever Award.
Established in 1972, Basepedi has supported its community for more than 50 years and
today has 122 active members. When a member loses a loved one, the society ensures that
the family does not carry the burden alone. Funeral costs are covered in full, while members
also provide food, tents, equipment and, importantly, their time.
Everyone has a role. Younger men take responsibility for physically demanding tasks,
younger women help serve and care for guests, while elders provide guidance and
emotional support.
It is Ubuntu in action, but it is also how heritage is passed on. Younger members are not
simply helping; they are learning from those who came before them and taking responsibility
for carrying the tradition forward.
Basepedi’s story also shows that tradition does not have to stand still. Since 1997, the
society has managed its contributions through an Absa club account, adding greater
structure and security while maintaining the values on which it was built.
That evolution is happening across South Africa. The traditional burial society and grocery
stokvel remain, but today they sit alongside investment clubs, property stokvels, travel
groups and collectives focused on entrepreneurship and wealth creation. Technology is
changing how groups communicate and manage their money too.
What has not changed is the principle underneath it all: people pooling their resources and
trusting one another to achieve something together.
This is what the 2026 Absa Stokvel Awards seek to celebrate. The Awards provide a
platform to recognise the groups preserving important traditions while also showing us what
the next generation of stokvels can become.
Basepedi is one such success story. More than five decades after its establishment,
generations have changed, South Africa has evolved, and financial habits have transformed.
Yet its founding principle remains unchanged: when one member needs support, the
collective responds.
Today, a new generation of stokvel members is expanding beyond traditional savings, using
collective financial power to invest in property, fund businesses, build wealth and create
lasting financial legacies. As stokvels continue to evolve, the opportunity is not to leave their
heritage behind, but to build on it, turning a proud tradition of community support into a
catalyst for economic growth and financial empowerment.
From a burial society founded in 1972 to the investment clubs and wealth-building groups
emerging today, one principle continues to unite millions of South Africans: we achieve more
when we do it together.
If your stokvel is making a difference in the lives of its members and community, now is the
time to be recognised. Enter the Absa Stokvel Awards and showcase how your group is
helping shape South Africa's next chapter of financial inclusion, wealth creation and
collective success. Like Basepedi, your stokvel could inspire the nation and leave a legacy
for generations to come. Click here to enter and tell your story.
Visit
absa.co.za/stokvelawards for nominations of stokvels.
