By Renee Bonorchis Source: Bloomberg.com South Africa’s biggest banks had extended loans and bonds in struggling state-owned companies totaling
By Renee Bonorchis
Source: Bloomberg.com
South Africa’s biggest banks had extended loans and bonds in struggling state-owned companies totaling 54.6 billion rand ($4 billion) by end September, according to central bank data. Power utility Eskom Holdings SOC Ltd. and South African Airways are among flailing government entities indebted to banks. While the money invested is about 1.3 percent of each lenders’ total assets, the amount at risk is also equivalent to almost 80 percent of the lenders’ average annual net income.
