DBSA loan disbursements rise by more than 155%
The Development Bank of Southern Africa (DBSA) has released its results, for the six months ended September. Development loan disbursements amounted to R9.1 billion, a more than 155 per cent increase from the prior comparable period. The bank continues to play an important role in South Africa’s infrastructure development. DBSA CFO, Boitumelo Mosako joins CNBC Africa for more.
Mon, 30 Nov 2020 10:34:26 GMT
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AI Generated Summary
- The DBSA has reported a significant increase in development loan disbursements, with a rise of over 155 percent for the six months ending in September.
- The bank has maintained its balance sheet strength and profitability, showcasing resilience during a challenging economic environment.
- The DBSA's focus on supporting municipalities and driving infrastructure projects aligns with President Cyril Ramaphosa's vision for economic recovery through increased infrastructure spending.
The Development Bank of Southern Africa (DBSA) has reported a significant increase in development loan disbursements, with a rise of over 155 percent for the six months ending in September. Despite a challenging economic environment, the bank has demonstrated resilience, maintaining its balance sheet strength and profitability. Boitumelo Mosako, the Chief Financial Officer of DBSA, attributes this success to a long-term strategy that has proven effective over time.
In a recent interview with CNBC Africa, Mosako highlighted the bank's focus on supporting municipalities, particularly metros, during these trying times. The DBSA has played a crucial role in providing funding to support infrastructure projects, aligning with President Cyril Ramaphosa's vision for economic recovery through increased infrastructure spending.
Mosako discussed the increase in loan disbursements, emphasizing that a significant portion of the funding was directed towards municipalities. The bank's commitment to project preparation and infrastructure funding has led to a surge in disbursements, indicating a strong pipeline of projects in the infrastructure sector.
The DBSA's infrastructure fund has been instrumental in driving these developments, with a particular focus on initiatives such as the student accommodation program, SA Connect, and road projects. The bank's proactive approach to infrastructure development bodes well for the future, with expectations of increased project activities both within South Africa and beyond.
As the DBSA continues to play a pivotal role in infrastructure development, its efforts are poised to contribute significantly to South Africa's economic recovery and growth. By prioritizing key sectors and maintaining a strategic focus on project preparation and funding, the bank is well-positioned to support the country's infrastructure development agenda.