Where to for finance without the Land Bank?
Where the Land Bank used to account for about 28% of South Africa’s agricultural debt, its financial woes have prevented it from accepting new clients and left it unable to meet 50% of its existing clients’ financial needs. This was according to Ayanda Kanana, CEO of the Land Bank, who reported to the Standing Committee on Appropriation in August.
He said the bank had disbursed only R5 billion to support the sector in 2021, in comparison with R21 billion in 2020, R29 billion in 2019, R32 billion in 2018 and R38 billion in 2017.
The situation was also compromising the bank’s transformation agenda, with its Development and Transformation division loan book shrinking. In addition, it affected the loans from agribusinesses that were secondary lenders of Land Bank funds.
Kanana admitted that the status quo was unlikely to improve in
