Ithala aims to accelerate change

THE BOARD of Ithala Development Finance Corporation said yesterday it would be embarking on a more aggressive strategy to develop KwaZulu-Natal’s economy.

Board chairperson Roshan Morar said: “Ithala has a substantial role to play in the province, and from our strategic intent we need to re-introduce and enhance the good that has been done and embrace issues of radical economic transformation. We also need to create job and investment opportunities for the people of KZN.”

Morar said he believed that Ithala had generally been underestimated.

“In the past three financial years, the small development financial institution (DFI) like ourselves has dispersed closer to R900 million of loans to SMMEs in the province. That is substantial and a contribution to our sector from which we want to grow,” he said.

Partnerships Over the past three years, Ithala has disbursed about R878 million to nearly 700 businesses, resulting in more than 8 000 jobs being created. Of these, 28 percent were womenowned businesses and young people comprise nearly 40 percent of those on Ithala’s loan book, it said in a statement yesterday. Morar said Ithala would be embarking on partnerships with other DFIs.

“We now have a very aggressive target of going out to lend R1 billion a year through partnerships with other DFIs, even at national level,” he said.

Morar said this would help create substantial and sustainable job opportunities.

“We will also ensure that we drive to create new blackowned businesses in our province, owned and managed by the people of the province and for the benefit of the entire province,” he said.

Ithala deputy chairperson Siphesihle Mkhize said that KZN and South Africa were struggling to grow entrepreneurs who were needed to boost economic growth and employment. “This is an opportunity for us to contribute to the DFIs’ mandate and achieve it for our province.”

The new board, which took office on June 1, said it planned to drive radical economic transformation.