Expropriation of land without compensation will destabilise the banking sector and potentially lead to private-sector lenders withdrawing from providing loans in which land-based property is offered as security, parliament was told on Wednesday.

The Banking Association SA (Basa), the industry body representing all registered banks in the country, warned that expropriation without compensation could spark an economic crisis, much like the 2007/2008 global recession that started from the downturn of land-based properties in the US...

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