Land Bank reaches debt deal with lenders, but a much bigger challenge awaits

10 Sep 2024

Although the Land Bank has struck a long overdue deal with lenders to pay them the billions of rands they are owed, the state-owned lender is not yet out of the woods.

Source: 123RF.

That’s at least considering the Land Bank’s financial health, which remains dicey and undermines its ability to fulfil the mandate of providing loans to established and emerging farmers.

The Land Bank has entered into a settlement deal with lenders after defaulting on debt repayment worth R45bn four years ago. The Land Bank became the first state-owned entity (SOE) to default on debt repayments to SA-based and international lenders, triggering financial support worth R10bn to the company by the National Treasury, or the taxpayer.

Read the full article by Ray Mahlaka at Daily Maverick.

Source: Daily Maverick

Daily Maverick is a unique blend of news, information, analysis and opinion delivered from our newsrooms in Cape Town and Johannesburg, South Africa. There are many ways to describe exactly what we do (and for the price of a cup of coffee we’re capable of talking your ears off about it), but the best way to understand the end result is to experience it. Every part of Daily Maverick is free-to-air and no payment is required, although free registration is required for a small subset of functions and pages.

Daily Maverick is run by an independently owned, private company with no affiliation to any other media group (or political party or religious organisation.) Follow Daily Maverick on Twitter at @dailymaverick.

Go to: https://www.dailymaverick.co.za/