State ups Land Bank guarantee

Comment on this story
LandBank1 Independent Newspapers Land Bank head office in Centurion, Pretoria. Picture : Masi Losi

Johannesburg - Government has approved a R1.5 billion guarantee to the Land Bank following the Fitch ratings agency's upgrade of its national long-term rating, the bank said on Wednesday.

The guarantee was in addition to the existing guarantee of R500 million, spokesman Congress Mahlangu said in a statement.

On January 8, Fitch upgraded the Land Bank's rating from AA on its local rating scale, indicating a quality company, to AA+, which is a higher endorsement.

In July 2008, the administrative powers of the Land and Agricultural Development Bank Act 2002 were transferred to the minister of finance.

Land Bank chief financial officer Lebogang Serithi welcomed the move, saying it indicated that government had confidence in the bank's implementation of its turnaround strategy.

“This will go a long way in ensuring that the organisation is able to adequately respond to its mandate and equally support the National Development Plan,” Serithi said. - Sapa

sign up

Comment Guidelines

  1. Please read our comment guidelines.
  2. Login and register, if you haven’ t already.
  3. Write your comment in the block below and click (Post As)
  4. Has a comment offended you? Hover your mouse over the comment and wait until a small triangle appears on the right-hand side. Click triangle () and select "Flag as inappropriate". Our moderators will take action if need be.

  5. Verified email addresses: All users on Independent Media news sites are now required to have a verified email address before being allowed to comment on articles. You are only required to verify your email address once to have full access to commenting on articles. For more information please read our comment guidelines