R107bn

Money manager Futuregrowth’s present assets

The lender said that its ban on the remaining SOEs remained in place, but it was in talks with then. Recommendations Van Rooy added that as part of the engagement with Futuregrowth, some recommendations have been collectively put forward regarding enhanced transparency and public disclosures relating to governance structures. These enhancements were viewed in a positive light and had been welcomed by the Land Bank.

Ian Cruickshanks, the chief economist at the SA Institute of Race Relations, said Futuregrowth’s decision to suspend its funding to the Land Bank was surprising as the bank was well run with good governance structures in place.

Cruickshanks said the change of attitude on the bank did not necessarily open doors for other SOEs to persuade the asset manager to lift their suspensions as well.

“They can, but it is not guaranteed that they will succeed, because the Land Bank succeeded. Each case will be treated on its merit,” Cruickshanks said. “The success by the Land Bank shows that you can never underestimate the power of negotiation. The past three weeks enabled both institutions to clarify any existing problems and misunderstandings they might have had.”