Dan Matjila says PIC is obligated to focus on sectors that drive economic growth

Dan Matjila

Dan Matjila

Published Jul 24, 2019

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JOHANNESBURG - Former chief executive of the Public Investment Corporation, Dr Daniel Matjila, told the Mpati led Commission of Inquiry into improprieties at the asset manager, that the organisation had an obligation to focus on sectors that were going to be driving economic growth and development investment.

According to Matjila, AYO Technology Solutions (AYO) fell under this paradigm where the PIC would fulfil part of its mandate to invest in empowering black owned technology companies.

“I saw the AYO proposal as very strategic for the PIC, as it gave the PIC exposure to the growing ICT ('Information Communication and Technology') sector, which, [formed] part of developmental investments (DI). Furthermore, the fact that it was black owned would position it strongly to pursue opportunities to enhance BEE credentials of its customers,” explained Matjila.

Matjila said in his position as CEO, he was not involved with the analysis of the investment potential of opportunities presented to the PIC or in processing the transaction.

He further commented: “I therefore requested Mr Fidelis Madavo (Executive Head: Listed Investments) to look into the opportunity and assess its investment potential. He led the AYO investment process from the PIC side,” explained Matjila. 

Matjila’s testimony continues.

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