Bank
27 March 2007
In November last year, the departments of Agriculture and Land Affairs held
a Lekgotla to review progress on priority programmes of the departments,
identify challenges, align our programmes and capacity to deliver and fast
track delivery.
Among the priorities identified was the Land Bank and our aim was to turn
around and refocus the Land Bank to ensure that it delivers on its mandate,
particularly its contribution to promoting previously disadvantaged individuals
in the agriculture sector, development in the agriculture sector and AgriBEE,
and that it remains sustainable. Support to the previously disadvantaged
communities by the Land Bank should assist government in the redistribution of
30% of agricultural land by 2014 and other land reform objectives.
Government has reaffirmed its support to the Land Bank by extending a
capital guarantee of R1,5 billion, and a further cash injection of R700 million
to support its turn around strategy and to provide a prudent level of capital
adequacy to ensure that the bank fulfils its mandate.
As a shareholder of the Land Bank I am taking active interest in the turn
around strategy of the bank. As such, I have seconded a team to the Land Bank
to strengthen the board and management capacity in implementing the turn around
strategy. The board has welcomed this support. This is in line with the ongoing
government project to review the operations and current mandates of the
country's development finance institutions.
Enquiries:
Godfrey Mdhluli
Media Liaison Officer
Cell: 082 418 1823
Issued by: Ministry of Agriculture and Land Affairs
27 March 2007
