Private-sector help is only way to stop Land Bank from becoming next SAA
Agri SA says the private sector and farmers themselves should be brought in to help manage the Land Bank effectively
The beleaguered Land Bank seems destined for another state bailout after the Treasury told Business Day it remained committed to its successful restructuring and that details of “additional fiscal allocation” to the state-owned lender would be announced in the 2021 budget.
While the Treasury did not disclose what a restructured Land Bank would look like, saying only that it was working with the lender to stabilise its financial position and improve governance, calls are growing for the private sector to get involved. This comes after the Land Bank posted a R2.8bn loss in the year to end-March 2020 and disclosed that nonperforming loans almost doubled to R8.18bn in results posted on its website on New Year’s Eve...