Page 8 - KZN Business Sense 9.6

100 DAYS IN OFFICE FOR ITHALA SOC’S CFO

rant Adlam, publisher focus is now more strategic.
of Business Sense was My objectives and priorities
Grecently in conversation in the next few months will
with Mohamed Gafoor, Chief involve developing robust
Financial Officer (CFO) of financial models, setting
Ithala SOC Limited. financial goals and monitoring
performance against them,
Where did your finance journey diversifying investment, and
start? revenue streams, ensuring
I am a qualified Chartered we secure capital to drive
Accountant. I joined Ithala in business growth and invest in
September 2015 as the finance systems and banking personnel,
manager and have since progressed and exploring strategic
to my current role of CFO which collaborations to drive growth.
was effective July 2023.
As a CFO and an executive
What have been the greatest director, can you describe
highlights of your finance the balance between your
career ever since you started at responsibilities as a CFO and
Ithala SOC Limited? those of an executive director?
For almost everyone who As a CFO, my primary
chooses a career in finance, focus is on strategy and
one of their greatest career financial matters, such as
aspirations is to become a chief managing budgets, financial
financial officer. So, I was no planning, and ensuring the
exception. My ultimate dream Mohamed Gafoor, Chief Financial Officer (CFO) of Ithala SOC Limited overall financial health of
was to become a CFO of a the organisation. On the
large organisation, and I have other hand, as an executive
achieved that! And that is my regulatory projects we are Limited’s performance and The positive outlook should director, you have a broader
greatest career highlight! embarking on are the Anti Money stability during your initial see an improvement in Ithala’s role that involves overseeing
Laundering (AML) project and months in office? performance. the organisation’s overall
Have there been major changes the Risk Data Aggregation and In my first 100 days in strategy and the day-to-
within your space since you Risk Reporting (RDARR). Both office, we have begun with the Ithala’s loan book is very day management of the
started working at Ithala a few these projects and all other reprioritisation of our current resilient. With the recent organisation. An executive
years ago, and now that you are regulatory projects do come at a budget. The current focus will be sharp increases in interest director leads a company,
rates and the tough economic
a CFO? substantial cost which ultimately on implementing projects that environment, we have providing the necessary
There have been considerable affects the bottom line. However, will drive revenue growth and seen other banks increase oversight to help the board of
changes, especially with due to the importance of these ensure regulatory compliance. impairments of up to 50%. directors achieve its goals.
the regulatory reporting projects and to ensure Ithala We have also begun a thorough Whereas Ithala’s impairments The balance lies in
requirements. As we know, the remains compliant we do set analysis of the cost to identify have only seen a small increase coordinating financial strategies
financial service sector is highly aside funding for these projects. areas of optimisation and due to the book being mainly with the organisation’s broader
regulated, and we need to ensure The nature of banking is that efficiency improvements. secured loans. In addition goals, providing financial
we are fully compliant all the time. it is staff intensive, especially to this Ithala’s key liquidity insights to support decision-
Requirements have become more if you have a branch model. In addition to the above, the ratio remains very healthy making, and collaborating
stringent over the years. As the You also have to contend products’ team is looking at new and well above the prudential with other executives to align
CFO and executive director, I need with attracting and retaining product offerings and enhancing requirements. This should show financial management with the
to ensure that Ithala is compliant specialised skills, both at the the current product offering the strength of Ithala’s balance overall strategic direction.
with all the relevant regulatory management and executive to drive revenue growth. The sheet and its financial health.
and legislative requirements. team is working on a banking What is your overall focus?
level. How are you balancing app that will move Ithala into
Also, becoming the CFO, this, ensuring that you attract the digital space, enhancing What strategies have you put in Ithala is focused and our main
place to ensure Ithala’s ongoing
I now must become more and retain executives with the accessibility and providing a stability and resilience? mandate, which has not changed
strategically focused and requested skills while keeping seamless financial experience for in 20 years is to bank the
contribute significantly to the the salary bill in check? our clients. To ensure ongoing stability unbanked and we will continue
overall success and growth of the In banking, the staffing we have introduced a few cost to focus on that. There’s
organisation. With the previous requirements include a wide What is your assessment of containment measures to try no intention to change that
roles in finance within Ithala range of professions. Banking Ithala’s financial health and and reduce costs. A thorough mandate going forward.
the focus was more on finance, also requires specialised skills performance during your analysis of cost is being done to Ithala has been running as
accounting, and reporting. in certain areas such as risk first 100 days, and how does identify areas of optimisation a separate organisation for
this compare to your initial
and efficiency improvements.
Can you provide the overview management, Treasury, and expectations? over 20 years now. Our aim is
not to become one of the big
Being a cash business
of your top priorities and goals regulatory reporting, to name The financial sector has where liquidity is of utmost commercial banks that are
when you were appointed as a a few. not fully recovered from the out there, but is more to serve
CFO? Ithala has been lucky to be able Covid-19 pandemic, the July importance, there is a strong the people of KZN, especially
focus on liquidity and cash flow
My top priority and goal as the to attract the right calibre of 2021 civil unrest, and the forecasting. To assist with this, the previously disadvantaged.
CFO of Ithala is to help drive staff with these specialised skills flooding, which has put pressure we have established a Treasury We are trying to grow the
business growth and ensure and experience. Our executives on a lot of organisations and department. The intention is organisation, and have a wider
long-term sustainability. and managers come with a high the people of South Africa, to grow this department as we reach in terms of our footprint
level of skills and experience especially the people in the lower in more of the rural areas.
Along this journey, we need in banking. Our executive grow the balance sheet.
to ensure that our mandate of team has more than 150 years LSM. This has in turn affected How do you see your role We aim to bank more of the
banking the unbanked is fulfilled. of experience combined. The Ithala’s performance negatively evolving in the coming months unbanked, to provide financial
as Ithala’s clients fall within this
experience and specialised skills and what are your main financial services to such individuals
Banking is a highly regulated do come at a premium, like in lower LSM. and then to help them grow
industry. As the CFO how other specialised fields, we need However, we are now seeing objectives and priorities for the their wealth as well. We provide
are you managing the cost to cater for this cost. the economy stabilise somewhat, next phase of your tenure? savings products for these
of compliance, and which interest rates have reached their My role before my appointment people to help them grow
regulatory compliance projects What financial strategies or peak, and we should see interest to the CFO role was mainly their wealth through interest
are top priority for Ithala? changes have you implemented decline next year, which will ease focused on financial accounting income in certain investment
Currently, the two major to enhance Ithala SOC the pressure on the consumers. and reporting. As the CFO the products. 

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