On the Money
STUART THEOBALD: Misguided criticism of banks’ Covid-19 roles
President is wrong to chide banks for not rolling out R200bn-worth of loans
The president is upset that banks have not rolled out R200bn-worth of loans in the loan guarantee scheme. The scheme formed a big part of the R500bn Covid-19 economic response and the president’s critics have lambasted him for the shortfall in delivery. Only about R18bn has been lent.
According to reports, last week the president told a masterclass arranged by the National School of Government that the “disappointment, for me, has been in how our financial sector has managed the Covid guarantee fund that we put up, which was guaranteed by government ... we put up R200bn and we said ‘assist the private sector and let’s protect the jobs so that companies are able to operate through Covid’”...