injection
23 August 2007
On 20 March 2007, Cabinet approved the further extension of the letter of
Undertaking of R1,5 billion and a R700 million recapitalisation of the Land
Bank.
The Minister for Agriculture and Land Affairs, the Honourable Lulama
Xingwana has, in terms of the powers conferred upon her under section 70 of the
Public Finance Management Act, with the concurrence of the Minister of Finance,
released the R1,5 billion guarantee. The process for the release of the R700
million capital injection has also been instituted.
This action is in line with the Government's initiatives to strengthen the
Bank's role as the main driver in ensuring the country's food security and
promoting sustainable development in the agricultural sector.
The R700 million capital injection will assist in accelerating the Land
Bank's turnaround strategy and help improve the developmental lending impact of
the Bank.
Enquiries:
Godfrey Mdhluli
Ministry�s Spokesperson
Tel: 021 465 4519
Cell: 079 871 5437
Issued by: Ministry of Agriculture and Land Affairs
23 August 2007
