Remo Moyo, Divisional Executive at Nedbank Corporate Banking, says the capital expenditure will be used to help develop this port city into a thriving industrial, commercial and administrative centre.
"Nedbank welcomes the opportunity to play a part in developing a city that has such great potential to contribute to both the KwaZulu-Natal and South African economy. Furthermore, our appointment as the sole funder is testament to Nedbank's long-standing relationship with the City of uMhlathuze and our ability to respond to a client's business needs by providing innovative solutions."
The City of uMhlathuze is the third largest municipality in KwaZulu-Natal and home to one of the country's largest deep-water ports, Richard's Bay. It is an industrial development zone that has the potential for investment worth R4,5 billion in the future. As such, the bay has established sectors in manufacturing, mining, financial services as well as trade and agriculture.
The local government is also on a strong drive to address its socioeconomic challenges by introducing programmes that focus on improving its citizens' lifestyles.
"Nedbank has made customised lending happen for the City of uMhlathuze to support and partner them in their business growth, which will in turn benefit the community they support," says Moyo.
He continues: "In this particular transaction, Nedbank's competitive pricing and understanding of the client's business allowed the bank to take a solution-based approach that meets the specific needs of the City of uMhlathuze."
Nedbank has a long-standing history of servicing South Africa's public sector and municipalities, and earlier in 2014 was also appointed as the sole funder of R900 million to the City of Johannesburg.
